Twitter Inc is reportedly set to sell the company to Elon Musk for around $43 billion in cash, the chief executive of Tesla Inc who made the offer calls it “best and final” offer for the social media company.
Twitter may announce the $54.20-per-share deal later on Monday April 25, once its board has met to recommend the transaction to Twitter shareholders, the sources told Reuters.
“It is always possible that the deal collapses at the last minute, the sources added.
Tesla CEO, Musk, who is the world’s richest person, is negotiating to buy Twitter in a personal capacity and his company is not involved in the deal.
Read also: Elon Musk Takes over Twitter after buying $3b worth of shares
Twitter has not been able to secure so far a ‘go-shop’ provision under its agreement with Musk that would allow it to solicit other bids once the deal is signed, the sources said.
Still, Twitter would be allowed to accept an offer from another party by paying Musk a break-up fee, the sources added.
Twitter shares were up 4.5% in pre-market trading in New York on Monday, April 25, at $51.15.
Musk has said Twitter needs to be made private to grow and become a genuine platform for free speech.
If successful, the deal would come just four days after Musk unveiled a financing package to back the acquisition.
Meanwhile, Jack Dorpsey will be entitled to two per cent shares in the company.
Tech entrepreneur founded and still owns 2% stake in social media platform
Throughout Twitter’s often controversial existence, former CEO Jack Dorsey has been the face and essential identity of the company.
Mr Dorsey, who came to the tech world after twice dropping out of university and becoming a certified masseuse, founded the social media platform in 2006 with Noah Glass, Biz Stone and Evan Williams.
