Twitter Inc. announced yesterday that it will offer Elon Musk a seat on its board. It intends to use this position to make significant improvements to its social networking platform, following the announcement that it has acquired approximately 9% of its shares.
The announcement was made on Monday, with Musk evolving into largest shareholder of Twitter.
“I look forward to working with Parag and Twitter’s board to make significant improvements to Twitter in the coming months,” Musk said in a Twitter post. Parag Agrawal is the executive director of the aforementioned social networking site.
Aside from promising big changes on Twitter, the Tesla CEO, who often chooses unconventional methods to implement his initiatives, did not disclose further details.
Musk will be involved in strategic decision-making, including directing Twitter’s “Bluesky” initiative, as well as implementing a correction keyaccording to a source who has become aware of the situation that is developing.
According to the same source, he will not play a role in the “restraint” of the platform regarding the prohibition of content or the restoration of the profiles of its users, while this policy applies to all members of the Twitter board.
Twitter shares rose more than 2% yesterday to $ 50.98 (46.78 euros), after rising 27% on Monday.
Tesla shares fell 4.7%.
Musk’s appointment is likely to thwart his ambitions for a Twitter takeover bid, as he, according to Forbes, is the richest man in the world, unable to control more than 14.9% of Twitter shares, either as a shareholder, or as a member of the board of directors of the social networking page, for as long as he participates in its board of directors.
The revelation about the acquisition of the shares on Monday, caused a wide range of concerns about the possibility of a full acquisition of the platform, until it acquires an active role from Musk in terms of its evolution.
Musk, for his part, has not shown any interest in acquiring Twitter, according to the same source.
He himself proceeded yesterday with a modification of the relevant file of shares, mentioning a change in the status of his shareholding, from that of a passive investor to an active investor, after some concern that he did not follow the correct bureaucratic steps, as far as completing the necessary documents.
“He is not someone who turns away from controversy or someone who expresses his thoughts. Thus, Musk always puts at risk his possible compliance with existing situations “, said Andrew Wang (Runnymede Capital Management).
Musk also revealed in documents he filed yesterday that he bought 73 million shares of Twitter for $ 2.64 billion ($ 2.42 billion) between January 31 and April 1. The average price of the shares was recorded at 36.14 dollars (33.16 euros).
The share price of Twitter closed at $ 39.31 on Friday (36.07 euros) on Friday before the revelation of Musk for the acquisition of shares.
Follow Skai.gr on Google News
and be the first to know all the news
