End of the Musk vs Twitter saga near? Shareholders approve $44 billion deal
- Twitter’s shareholders approved the $44 billion Musk deal on Tuesday
- They decided over during a brief conference call with different investors from Twitter’s headquarters in San Francisco
- Now, Twitter Inc. will try to persuade Musk to purchase the company in the courts after he walked away from the Twitter deal in July
- The disclosure of final breakdown of the votes has not been disclosed yet
The Elon Musk vs Twitter saga continues to throw curveballs at regular intervals. In the latest development, Twitter’s shareholders have voted to approve the $44 billion Musk deal. They decided over a conference call in a special meeting of shareholders.
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Twitter shareholders approve two proposals
Twitter’s shareholders approved two proposals made by Musk. One, how Twitter executives will be compensated after the deal goes through, and two, adopting the merger agreement with Musk.
Although both decisions were approved, the final breakdown of all votes will be revealed later, when paperwork is filed with the Securities and Exchange Commission (SEC).
There is a twist in the tale though. Even if Twitter’s shareholders have agreed to let Musk take over the company at a share value of $54.20, the deal is rife with complications and legal battles. A trial due on October 17 in Delaware’s Court of Chancery will give a verdict if Musk can walk away from the deal completely.
For those who have not followed this story, Musk had originally raised worries about the abundance of bots and spam accounts, which led him to cancel the merger agreement. However, the legal counsel for Twitter argued that Musk was more concerned about “World War 3.”
If the Delaware court ultimately approves the deal, the latest shareholder approval shows that they have allowed the Tesla CEO permission to take over Twitter. From Twitter’s standpoint, this was the final obstacle to completing the transaction; Musk wants more disclosures from Twitter.
Did Twitter’s whistleblower aid Musk in his legal battle against Twitter?
Peiter Zatko, Twitter’s former security head has played a role in strengthening Musk’s case against Twitter. Zatko lodged a whistleblower complaint with the Securities and Exchange Commission in August, accusing the social media company of violating SEC regulations and sketchy security protocols.
Following the judge’s decision last week, Musk could add Zatko’s arguments to his own to strengthen his case. In addition, Zatko issued a second testimony at a Judiciary Committee hearing on Tuesday, where he provided fresh details regarding his claims that Twitter’s security procedures threaten the national security of the United States of America.
Will the Musk vs Twitter continue for a few more months or are we drawing closer to an end? Share your thoughts on this story by leaving a comment below.