Twitter Moves to Block Elon Musk From Increasing Stake
The social-media company takes the step a day after the tech entrepreneur made a $43 billion unsolicited takeover bid
Twitter confirmed its board would review Elon Musk’s proposal.
PHOTO: LAURA MORTON FOR THE WALL STREET JOURNAL
By Cara Lombardo
Updated April 15, 2022 12:37 pm ET
Twitter Inc. moved to prevent Elon Musk from significantly increasing his stake the day after he made a $43 billion unsolicited takeover bid for the social-media company.
The company on Friday adopted a so-called poison pill that makes it difficult for him to increase his stake beyond 15%. The billionaire founder of Tesla Inc. already owns a more than 9% stake that he revealed earlier this month.
The Wall Street Journal reported Thursday that Twitter was weighing such a move.
Poison pills, also called shareholder-rights plans, are legal maneuvers that make it hard for shareholders to build their stakes beyond a set point by triggering an option for others to buy more shares at a discount. They are often used by companies that receive hostile takeover bids to buy themselves time to consider their options.
He needs to actually sell before he announces it. To do otherwise would be market manipulation and he'll get a slap on the wrist. It would be even worse at this time because the SEC and DOJ are launching a joint investigation against him.
And yet the SEC ignores the drunken cunt-face and all the other “elected” insider-trading criminals. The whole thing is a scam.
Wait, which drunken cunt-face are you referring to? I can think of several politicians who fit that bill of lading...
Piglosi
Ahh ok I was thinking peppermin cunny McCuntface
Sec and doj are going to ruin themselves on this. It may be what the actual target is since we are cleaning up governme t and we k ow sec doesn't go after the elite for stealing.
You may be right. That would be a brilliant move. Is he setting the stage to show how corrupt the SEC is??
Isn't the poison pill thing illegal?
I know company's do it, but they don't want to get caught doing it... or they used to
They're in legal documents, so they're likely not illegal.