Report: Twitter Engages in Negotiations With Elon Musk, Analyst Says Unless a Second Bidder Appears Musk Will Acquire the Company

Report: Twitter Engages in Negotiations With Elon Musk, Analyst Says Unless a Second Bidder Appears Musk Will Acquire the Company

According to multiple reports stemming from people familiar with the matter, Twitter has been engaged in negotiations with Elon Musk over his proposal to purchase the social media platform for $46.5 billion. Sources detail that a number of Twitter shareholders allegedly reached out to the company’s board after Musk detailed his financing plans last week. Reports Say Elon Musk Could Acquire Twitter by the End of the Day

Three days ago, Bitcoin.com News reported on Elon Musk’s plans to improve Twitter which include removing spam bots and making sure free speech is allowed. Musk further detailed that he wants to make the account verification process easier. However, before Musk outlined his improvements and plans to secure the $46.5 billion needed for the acquisition, Twitter’s board implemented a “poison pill” plan to avoid the acquisition.

Essentially, Twitter executed a shareholder rights plan in order to dilute the appeal of a takeover. The measure attempts to make it harder for Musk to acquire the company unless he increases his shareholder stake. Despite the poison pill plan and the backlash from a number of people against Musk taking over, three reports note that Twitter’s management is contemplating Musk’s offer now.

Bloomberg, the Wall Street Journal (WSJ), and the New York Times (NYT) have all reported that people familiar with the matter say Twitter’s board is now engaging in negotiations with the Tesla executive. According to the reports, Twitter’s board is interested in any ongoing regulatory investigations tethered to Musk and his companies and whether or not any investigations could impede the deal. Sources Say Musk ‘Remains Fluid and Fast-Moving,’ Analyst Believes Musk Will Takeover Unless a Second Bidder Appears

Furthermore, Twitter’s board is interested in the opinions of U.S. regulators and bureaucrats that may object to Musk’s takeover. The New York Times reports that the agreement is not final and there’s definitely a chance it won’t work. However, people with knowledge of the situation said “Mr. Musk remains fluid and fast-moving.”

Musk is reportedly working with Morgan Stanley in order to acquire debt financing and he allegedly has $21 billion in cash reserves to leverage as well. On Sunday, an analyst at Wedbush Securities, Dan Ives, said he believes Musk’s goal to own Twitter may be successful. In an investor’s note published this weekend, Ives said: [This is] the beginning of the end for Twitter as a public company with Musk likely now on a path to acquire the company unless a second bidder comes into the mix.

Last week, Musk also talked about Twitter integrating dogecoin (DOGE) and that it could possibly be a payment option for Twitter’s Blue service. While most crypto assets have been in the red on Monday recording declines in fiat value, DOGE has jumped 6.24% during the last 24 hours since the news about Twitter engaging with Musk in negotiations went public. Tags in this story $46.5 billion, Doge, dogecoin, Elon Musk, elon musk buys twitter, elon musk twitter, elon musk twitter improvements, elon musk twitter priorities, elon musk twitter takeover, engaging in negotiations, morgan stanley, Negotiations, poison pill, shareholder rights plan, Twitter Board, Twitter Management

What do you think about Twitter engaging with Elon Musk in regard to his offer to purchase Twitter for $46.5 billion? What do you think about Elon Musk owning Twitter? Let us know what you think about this subject in the comments section below. Jamie Redman

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 5,000 articles for Bitcoin.com News about the disruptive protocols emerging today. Elon Musk Purchases Twitter for $44 Billion, Social Media Company Will Transition to a Private Company NEWS | 3 hours ago Uncollateralized Lending Platform Truefi Reveals $100 Million Single-Borrower Pool Designed for Blockchain.com NEWS | 7 hours ago

Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleBitcoin, Ethereum Technical Analysis: ETH, BTC Fall to 5-Week Lows Next articleBiggest Movers: DOGE up on Twitter News, WAVES Deep in the Red Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItFollowing a Brief Fee Spike, Gas Prices to Move Ethereum Drop 76% in 12 Days

Transaction fees on the Ethereum network are dropping again after average fees saw a brief spike on April 5 jumping to $43 per transfer. 12 days later, average ether fees are close to dropping below $10 per transaction and median-sized ... read more.Fidelity Investments Launches Crypto, Metaverse ETFs — Says "We Continue to See Demand" Fed"s Bullard Wants to Raise Bank Rate to 3.5% by Year"s End, Hints at 75 Basis Point Rate Hike Survey: Adoption in Argentina Grows, With 12 out of 100 Adults Having Invested in Crypto Terra"s Algorithmic Dollar-Pegged Crypto UST Is Now the Third-Largest Stablecoin