But investors doubt the sincerity of the bid and its benefits
AS TWEETS GO “I made an offer” seems relatively unexciting. But when the offer in question is from Elon Musk to buy Twitter, the social-media platform itself, that is a different matter. On April 13th the boss of Tesla and SpaceX made a cash offer of $54.20 a share, valuing the firm at $43.4bn. The bid is a third higher than Twitter’s price when Mr Musk first revealed that he had. His plaintive tweet raises another barrage of questions about the future of Twitter and the world’s richest man.
The bid is the latest twist in weeks of drama. On April 4th, Mr Musk announced that he had built up a 9% stake in the company to become its largest shareholder. This excited investors. Twitter’s share price jumped by 27% the same day. He was then invited to join the board. He rejected the offer but has tweeted a list of improvements the platform could make.
Yet Mr Musk has hired Morgan Stanley, a bank, as a financial adviser to execute the offer. He has the means to pay for it. His personal wealth exceeds $200bn, though he would have to sell shares in Tesla, a publicly traded carmaker or SpaceX, his privately held rocket company, or bring together a consortium of other buyers. Mr Musk’s belief that Twitter can thrive as a free-speech haven should not be sniffed at either.
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