Elon Musk, during an event at SpaceX headquarters in Hawthorne, California, USA, on Thursday, October 10, 2019.
Bloomberg / Getty
A new presentation reveals that Elon Musk plans to contribute $ 33.5 billion in his bid to take over Twitter.
Musk is in talks with Twitter founder and former CEO Jack Dorsey and others to help fund or renew his actions to complete the deal. In a letter to investors supporting the holding that Musk is forming to take private Twitter, the billionaire expressed his commitment to complete the deal.
Twitter shares rose more than 6% in the news.
As previously reported by CNBC’s David Faber, Elon Musk is expected to act as Twitter’s temporary CEO for a few months after completing the $ 44 billion acquisition.
The deal has been controversial since Tesla and SpaceX CEO first proposed it in April, and shares are listed below the $ 54.20 acquisition price, suggesting that investors had relatively low confidence that the deal would be made at that price.
In early May, Musk dropped Twitter shares when he said he would “suspend” the $ 44 billion deal while investigating the proportion of fake accounts and spam on the platform. Musk suggested at the All In Summit technology conference in Miami that his Twitter deal should be done at a lower price, potentially, given his concerns about activity and non-authentic accounts on the platform.
In its first-quarter earnings report, Twitter acknowledged that there are a number of “fake or spam accounts” on the social network, along with a legitimate daily monetizable use or active users (mDAU). The company wrote in a presentation: “We’ve done an internal review of a sample of accounts and we estimate that the average fake or spam account during the first quarter of 2022 accounted for less than 5% of our mDAU during the quarter. “. Twitter also acknowledged that it had exaggerated the number of users between 1.4 and 1.9 million users in the last 3 years.
Wednesday before. Twitter shareholders voted not to re-elect Silver Lake co-CEO Egon Durban to the company’s board. Durban, through Silver Lake, has long been a trading partner and sponsor of Musk companies and previous trade agreements.
Tesla shares fell slightly slower after Wednesday hours.