Elon Musk Offers To Buy Twitter

The world's richest man says Twitter has extraordinary potential and he will unlock it

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Elon Musk, the world's richest man, has made an offer to buy Twitter. Musk is willing to offer $54.20 per share in cash, representing a 54 per cent premium over the January 28 closing price.

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He tweeted, "I made an offer." The move comes close to the heels of an announcement made by Musk over not joining the Twitter board of directors.

"I invested in Twitter as I believe in its potential to be the platform for free speech around the globe and I believe free speech is a societal imperative for a functioning democracy," said Musk in a letter sent to Twitter Chairman Bret Taylor. "Twitter has extraordinary potential. I will unlock it."

"I would need to reconsider my position as shareholder," said Musk if his offer is not accepted.

The social media giant had offered Musk a seat on its board after it emerged that he held a 9.2 per cent stake in the company. The role was set to become effective but soon after Musk decided against it. On Monday, CEO Parag Agrawal tweeted, "I believe this is for the best. We have and will always value input from our shareholders whether they are on our board or not. Elon is our biggest shareholder and we will remain open to his input."

Elon Musk is currently worth about $260 billion according to the Bloomberg Billionaire's Index, compared with Twitter's market valuation of about $37 billion.