More people have weighed in on Elon Musk’s offer to buy Twitter.
While some think it would be a good idea, some others think not and a few others are of the opinion that regardless of whether or not Musk succeeds in buying and privatizing the social media platform, his bid has opened Twitter to offers from other giant tech companies.
What they are saying
Saudi Arabian businessman, Prince Al Waleed bin Talal, chairman of Kingdom Holding Co., Rotana and Al Waleed Philanthropies, has reacted to Musk’s offer to buy Twitter. Being one of the longest shareholders of Twitter himself, the businessman was against Musk’s offer to buy the platform.
In his tweet, he stated “I don’t believe that the proposed offer by @elonmusk ($54.20) comes close to the intrinsic value of @Twitter given its growth prospects.
“Being one of the largest & long-term shareholders of Twitter, @Kingdom_KHC & I reject this offer”.
Dr Petar Stojanov, Partner and Practice Lead at Black, a global design and innovation advisory, is of the opinion that Twitter’s hands may be tied as they have to accept Mr Musk’s demands or have a difficult question to answer to their investors.
He stated, “If the board says ‘no’, they’ll have to show shareholders how they will get them to 20% premium over stock price in the next year. Not likely. @elonmusk out here playing Chess with SEC as pawns, while the rest are playing Checkers”.
American billionaire businessman, Mark Cuban released a whole thread of tweets detailing his stance on Mr Musk’s bid. He started by saying that Twitter has become a company of interest that all tech giant companies would be looking for a means to purchase.
- He tweeted, “Every major tech company, Google, fb, et al is on the phone with their anti trust lawyers asking if they can buy Twitter and get it approved. And Twitter is on the phone with their lawyers asking which can be their white knight. Gonna be interesting”
- “Elon may have started this, but his threat to sell his shares, if Twitter says no, opened the door for those tech giants to walk in for relatively “little” money and grab huge influence at Twitter or possibly a direct path to acquisition. Elon will smile all the way to the bank.
- “And I should add, not just tech companies. Why wouldn’t not-so-friendly to the USA foreign money, with the source hidden, come in and buy Twitter for the influence it brings?
Cuban is however of the opinion that Twitter would not sell. “They’ll instead get another investor to buy his shares and remove him from the company He tweeted, “ I think Twitter will do everything possible not to sell the company. They will try to get a friendly to come in and buy Elon’s shares and get him out”
But ultimately he’s of the opinion that the offer is just a ploy by the billionaire to get Tesla shares to increase in price. In his last tweet addressing the offer for purchase, he made this clear stating, “My conclusion, @elonmusk is fucking with the SEC. His filing w/the SEC allows him to say he wants to take a company private for $54.20 😂
Vs his “Am considering taking Tesla private at $420. Funding secured” Price go up. His shares get sold. Profit⬆️ SEC like WTF just happened”.
In case you missed it
- After purchasing about 9.2% of Twitter and becoming the largest shareholder, Elon Musk made an offer to purchase the microblogging site for over $41.39 billion.
- Musk also turned down an opportunity to be on the Twitter board after initially agreeing to the gesture.