Twitter Announces The Precaution It Takes Against Elon Musk’s Offer

CEO of giant companies such as Tesla and SpaceX Elon Musk, with a surprise decision, bought 9.2% of the social media giant Twitter. After that, it was announced that Musk would not join the board of directors, contrary to expectations. Yesterday, there was an even more interesting development in this regard, the famous businessman stated that he wanted to buy Twitter for 43.4 billion dollars.

After that, statements began to come from both sides. We mentioned that if Musk’s offer is not accepted, he has a ‘B’ plan, and Twitter will review the offer. In addition, in a news we shared with you this morning, the giant platform said ‘to dissuade Musk from his offer.poison pill We have mentioned that there is a possibility of using a strategy called Now, there has been an important development in this regard.

Twitter board decided to implement ‘poison pill’ strategy against Musk

According to the reports, the giant company decided to implement the ‘limited shareholder rights’ plan, also known as the ‘poison pill’, to block Musk’s offer after the board of directors meeting. It was stated that with this strategy, the easy acquisition of the company will be prevented. So this strategy is that existing shareholders are discounted. allows him to buy additional shares. This is the shareholder’s offer to buy all the shares. makes it cost more.

According to the statements, this strategy, which is implemented by many companies to prevent undesired takeovers, April will continue until next month. In addition, the board stated that this strategy will come into effect when a person or institution acquires 15% or more of Twitter shares. In other words, the plan is a hedge against the possibility of Twitter increasing Musk’s shares. method of protection was put into practice.