Crypto Community Welcomes Musk’s Twitter Bid as Obstacles Emerge
Twitter’s board does not welcome Tesla chief Elon Musk’s bid to buy all the shares of the company and is reportedly preparing a ‘poison pill’ defense strategy that would prevent a hostile takeover.
One option considered by the board to stop Elon Musk from buying Twitter is a so-called shareholder rights plan that would allow existing shareholders to purchase more shares at a discount. The result would be a dilution of the stake held by the party seen as ‘hostile’. Another option considered is reportedly to call the offer too low.
The information was obtained by Bloomberg, citing anonymous sources “with knowledge of the matter.”
According to these sources, Twitter’s board could announce its ‘poison pill’ already later on Friday.
The information is notable given that Jack Dorsey, Twitter’s former CEO who welcomed Musk’s interest in Twitter earlier this month, still remains on the company’s board until his expected departure later this year.
Musk and Dorsey are thought to have views on freedom of speech issues and the role of bitcoin (BTC) and crypto that – at least to some extent – align.
So far, at least one major investor in Twitter, the Saudi Arabian investment conglomerate Kingdom Holding Company, controlled by Prince Alwaleed bin Talal, has rejected the bid, saying it does not represent "the intrinsic value" of the company.
The comment, which was made on Twitter, quickly received a reply from Musk:
Meanwhile, during an on-stage interview on Thursday at TED2022 in Vancouver, Canada, Musk said that he wants to turn Twitter into “an inclusive arena for free speech,” while hinting that speech has become too restricted on Twitter as of late.
"We want to have the perception and the reality that speech is as free as possible," Musk
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