It Quietly Makes a Move That Reveals the Buyout Deal is About to Close
Twitter just quietly surrended to Elon Musk.
After months of resistance to the tech billionaire’s hostile takeover offer in March, the social media giant has quietly indicated that it now expects the deal to go through. Twitter has taken action to freeze share-trading for its employees through its corporate awards account.
“Twitter Inc. froze the equity awards accounts for employees on Monday as the deadline to seal a deal with Elon Musk approaches,” Bloomberg Law reported.
“The social media company updated its employee FAQ page this week to alert staff that they won’t be able to access or trade shares from the Equity Award Center,” the article adds. “The page said the change was done ‘in anticipation of the closing of the pending acquisition of Twitter by an entity controlled by Elon Musk,’ according to two people familiar with the change.”
“This freeze allows Schwab to perform final reconciliation of employee accounts” prior to close of the deal, the article notes.
Elon Musk on Tuesday showed his optimism that he would close the deal on Twitter with a tweet, which he subsequently deleted.
“*” indicates required fields
“In retrospect, it was inevitable,” Musk tweeted, along with a cartoonized photoshop image of Musk, West, and Trump as the ‘Three Musketeers.”
While it is still unknown whether the power trio can save free speech throughout America and rescue the West from Woke tyrants, the mighty three’s capture of social media platforms would be a tremendous start.
On Monday, it was reported that Trump-supporting rap superstar Kanye West was buying the social media platform Parler.
As earlier reported, Twitter had been pulling out all the stops to prevent the Musk deal from closing before the midterm elections.
Elon Musk is under investigation by federal authorities, according to Twitter court documents. The social media platform’s attorneys recently divulged the revelation, although it did not list the government agency. There was speculation that it could be the Security and Exchange Commission, which could issue Musk a fine for violations, but was unlikely to block the deal.
Delaware Court of Chancery Chancellor Kathaleen St. Jude McCormick had earlier cleared the path for Elon Musk to close his buyout of Twitter by the midterm elections.
“Defendants and Counterclaim-Plaintiffs Elon R. Musk, X Holdings I, Inc., and X Holdings II, Inc. (collectively, “’Defendants’) have agreed to close on the Agreement and Plan of Merger dated April 25, 2022, and they have moved to stay this action in light of their agreement,” the judge ruled. “Defendants have stated that ‘the closing is expected on or around October 28, 2022.’”
“This action is stayed until 5 p.m. on October 28, 2022, to permit the parties to close on the transaction,” the judge added. “If the transaction does not close by 5 p.m. on October 28, 2022, the parties are instructed to contact me by email that evening to obtain November 2022 trial dates.”
Elon Musks buyout of Twitter could potentially restore free speech on major social media platforms and make for a more level playing field for political debate. That would ultimately prove to be a healthy thing for America’s democratic process.
Notice: This article may contain commentary that reflects the author’s opinion.