Dubai, United Arab Emirates (CNN) – Activists interacted on social media, the Twitter company’s action and its response to the offer to buy it by the American billionaire, Elon Musk.
After Twitter adopted today, Friday, a shareholder rights plan to protect itself from the cash takeover offer made by billionaire Elon Musk, worth $43 billion. The question is, did Prince Alwaleed bin Talal succeed in his challenge to Mask…
Twitter’s board of directors on Friday adopted a limited-term shareholder equity plan that might make it difficult for billionaire Elon Musk to take over the company, called the “poison pill”.
Twitter’s board of directors rejects Elon Musk’s offer to buy the entire company and takes action that opens the door to accepting losses and a decline in shares, but prevents Musk from controlling Tesla. In order to make major changes
The “poison pill” is an anti-capture tactic that preserves the right of shareholders to prevent a competitor from buying more shares at a significant discount, effectively diluting their stake in the company.
Twitter announced several steps to preserve shareholders’ rights: – Existing shareholders can obtain additional shares at a cheaper price – No acquisition of more than 15% of the shares is allowed without approval – The Board of Directors has the power to approve or reject any offer of acquisition. Elon Musk’s deal has not yet been settled ???? #Twitter https://t.co/X0ncaWO4L2
Twitter’s board of directors said, in a statement, that the plan aims to preserve the right of shareholders to acquire more shares in the company at a relatively cheap price, effectively reducing Musk’s stake.
Twitter’s board of directors announced a plan to reduce Elon Musk’s stake, by allowing other shareholders to acquire more shares at a lower cost, which indicates a rejection of Elon Musk’s takeover offer. #Twitter https://t.co/R1nmVpXtmK
The statement added that the plan will be activated if Elon Musk or any other investor acquires more than 15% of the company’s shares.
Billionaire Elon Musk currently owns regarding 9% of Twitter’s shares.
