Twitter shareholders to vote on September 13 to acquire Musk

(San Francisco) Twitter shareholders’ vote on Elon Musk’s acquisition will take place on September 13, ahead of the start of the lawsuit the social network brought against the world’s richest man in October.

Posted at 6:59 p.m

Twitter called its shareholders to a “special meeting” via video conference, according to official documents filed with the SEC on Tuesday.

The context of the vote has changed dramatically since late April, when the group’s board of directors and Elon Musk signed an agreement to buy Twitter at $54.20 per share, or a $44 billion valuation.

On July 8, the head of Tesla and SpaceX unilaterally terminated that agreement, saying the San Francisco-based company allegedly lied about the proportion of automated accounts and spam on its platform.

Twitter then launched a lawsuit against the multi-billionaire to force him to honor his commitment.

The judge in charge of the case, the president of a tribunal specializing in commercial law, said last week that the trial would take place in October and last five days. Both sides still have to agree on a date.

Twitter’s board of directors has in the past urged its shareholders to vote for the acquisition when the time comes.

Its shares are currently worth around $39. If the transaction eventually goes through, it would represent a significant capital gain for shareholders.

The judge’s decision was seen as a first victory for the law firm with the blue bird, which had already requested an expedited trial in September to avoid prolonging the period of uncertainty that is partially paralyzing the company.

Elon Musk wanted to tell him that hostilities would not open until next year, and arranged for experts to analyze “mountains of data” about fake accounts.

Twitter’s lawyers believe the quirky entrepreneur has changed his mind given the recent drop in stock market valuations of tech companies.

In the ad they accuse him of “hypocrisy” and “bad faith”.

“We suspect that Mr. Musk wants to delay this process long enough to never be held accountable. […] He knows that in such circumstances, justice belated is often justice missed. In fact, he hopes so,” one of them, William Savitt, attacked during the July 19 preliminary hearing.

Leave a Comment