Twitter Inc.’s board said it plans to enforce its US$44 billion agreement to be bought by Elon Musk, saying the transaction is in the best interest of all shareholders.
“We intend to close the transaction and enforce the merger agreement,” the board said Tuesday in a statement to Bloomberg News. Directors voted earlier to unanimously recommended that shareholders approve Musk’s US$54.20-a-share offer.
The board’s statement comes as Musk appears to be maneuvering to ditch or renegotiate his offer.
Musk said last week that the deal was “on hold” until he gets more information, specifically proof from Twitter that so-called spam bots make up less than 5% of its users.
On Monday May 16, Musk stoked speculation that he could seek to renegotiate the takeover, saying at a tech conference in Miami that a viable deal at a lower price wouldn’t be “out of the question.”
Twitter has said it’s committed to completing the sale. The shares, which had dropped for seven straight trading days, closed Tuesday May 17 up 2.5% to US$38.32, still well below the offer price.
