Documents filed on Monday with the US Securities and Exchange Commission (SEC) showed that Elon Musk became the sole director of Twitter after completing his $44 billion purchase of the social network and dissolving the company’s board of directors.
The documents state that the “completion of the merger” occurred on October 27, at which time Musk “became the sole director of Twitter,” while the entire board of directors, including CEO Parag Agrawal, was abandoned.
When he made his initial takeover offer in April, Musk – who is also the CEO of Tesla and SpaceX – stated that he intended to remove Twitter from the public market, after which it would require fewer public disclosures.
When the unpredictable billionaire tried to walk away from the deal, Twitter sued Musk in a Delaware court.
But with the October trial date looming, Musk revived the deal in early October, eventually closing the acquisition again, and changing again at $54.20 per share last week.
As his first move, he promptly fired the company’s top executives, with Mr Agrawal, CFO Ned Segal, and head of legal policy, trust and safety Vijaya Jade – who made the decision to permanently suspend former President Donald Trump from the podium – all showing the door.
In the lead-up to the takeover, Musk publicly criticized the decision to ban Mr. Trump.
Musk said to financial times in May.
Trump’s Twitter ban has not ended Trump’s voice. You will inflate it among the oaths, which is why it is morally wrong and utterly stupid.”
After changing his Twitter bio to “Chief Twit,” Musk reportedly worked over the weekend with software engineers from Tesla to look under the social media giant’s cover, as well as plot mass layoffs.
Bloomberg, citing a person “close to the matter,” reported Friday that Musk plans to “get rid of the permanent ban on users because he doesn’t believe in lifelong bans.”
He tried to calm the nerves of advertisers, Twitter’s main source of revenue, by assuring them that the site would not become a “free-for-all” site, and announced the formation of a content board of directors.
Despite widespread speculation that Mr. Trump might rejoin his 89 million followers on Twitter, the former president insisted Friday that he would stay on Truth Social, his rival social media platform that launched early this year.
“I’m going to stick with the truth,” Trump told Fox News. “I like it better, the way it works. I like Elon, but I stay true to it.”
Meanwhile, reports emerged on Sunday that Twitter plans to start charging users $19.99 per month to keep their blue check marks.
“The entire verification process is now being renewed,” Musk wrote on Twitter on Sunday.
The company plans to raise its optional $4.99 per month subscription called Twitter Blue to $19.99 per month and includes verification as part of the deal, according to the edge.
The tech site reports that existing verified users will have 90 days to sign up for the new Twitter Blue after its launch or they will lose their checkmarks.
The new Musk-led entity formed under the merger agreement has also offered to buy back all outstanding Twitter bonds, according to an SEC filing.
Musk, the world’s richest person, financed the mega deal with a combination of his own money, money from other investment groups, and loans from banks that would have to be repaid.
According to another Twitter document filed with the Securities and Exchange Commission, Saudi Prince Al-Waleed bin Talal has become the site’s second largest shareholder.
The entrepreneur, who initially rejected Musk’s offer as too low compared to Twitter’s “intrinsic value”, eventually contributed the nearly 35 million shares he already owned.
“My dear friend ‘Chief Twit’elonmusk” wrote on Twitter last Friday, with a statement announcing the trading of his shares.
“Together all the way together,” he added, with the emoji of hands trembling.
Originally Posted when Twitter’s board of directors dissolved, leaving Musk as sole director