Twitter board approves Elon Musk’s buyout offer – Know the shareholders’ voting process

The Twitter board of directors have unanimously approved Musk’s buyout offer.

Elon Musk deal with Twitter, offer, stock, price, news, latest, vote, date
Twitter shareholders may vote virtually or by attending the special meeting.

Elon Musk’s deal with Twitter seems to be gathering pace now. In a recent US SEC Filing, the Twitter board of directors have unanimously approved Musk’s buyout deal and recommends stockholders to vote in favor of the offer.

The acquisition of Twitter by Elon Musk is at approximately $44 billion at a price of $54.20 per share. Twitter closed at $38.91 on June 21, 2022. Once the deal gets completed, Twitter will become a privately-held company.

If the merger is completed, shareholders will be entitled to receive $54.20 in cash, without interest and subject to any applicable withholding taxes, for each share of their common stock that they own.

This amount constitutes a premium of approximately 38 percent to the closing price of Twitter stock on April 1, 2022, which was the last full trading day before Musk disclosed his approximately nine percent stake in Twitter.

Twitter shareholders may vote virtually or by attending the special meeting. Here is the process as per the Filings:

Even if you plan to virtually attend the special meeting, please sign, date and return, as promptly as possible, the enclosed proxy card (a proxy card and a prepaid reply envelope are enclosed for your convenience) or grant your proxy electronically over the internet or by telephone (using the instructions found on the proxy card).

If you virtually attend the special meeting and vote at the special meeting, your vote will revoke any proxy that you have previously submitted.

If you fail to return your proxy or to attend the special meeting, your shares will not be counted for purposes of determining whether a quorum is present at the special meeting and will have the same effect as a vote against the adoption of the merger agreement.

If your shares are held through a bank, broker or other nominee, you are considered the “beneficial owner” of shares held in “street name.” If you hold your shares in “street name,” you will receive instructions from your bank, broker or other nominee that you must follow in order to submit your voting instructions and have your shares counted at the special meeting.

Your bank, broker or other nominee cannot vote on any of the proposals to be considered at the special meeting without your instructions. Without your instructions, your shares will not be counted for purposes of a quorum or be voted at the special meeting, and that will have the same effect as voting against the adoption of the merger agreement.

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