In the latest development of prolonged Twitter takeover of Elon MuskTwitter shareholders have now voted to approve Musk’s $44 billion offer to buy the company, despite Musk trying to back out of the entire deal.
This is important for a couple of reasons. Although Twitter and Musk reached an agreement for the acquisition in April, Twitter has been waiting for shareholders to vote on the deal for it to be approved. Starting Tuesday, September 13, It is informed that a preliminary count of the votes confirms that the shareholders have approved the agreement.
Shareholder approval not only means that Twitter can go ahead with buying Musk, it also means that Twitter can now go ahead with a lawsuit that requires Musk to buy the company.
That lawsuit is necessary because Musk tried to pull out of the Twitter deal in July, citing “misleading” statements from Twitter about its actual user numbers and bot accounts. Twitter filed a lawsuit against Musk immediately after it went cold, and with shareholder approval now official, Twitter can uphold the lawsuit and try to keep Musk on his original offer to buy the company for $44 billion.
With shareholder approval finalized, Twitter and Musk are expected to begin their trial in October in Delaware Chancery Court. Musk still has a chance to get a trial that would allow him to back out of the deal, but Twitter is now in a better position to hold the billionaire accountable and force him to move forward.
Ultimately, what we are left with is a situation that is still very messy any way you look at it. Many people are worried about a Twitter run by Elon Musk and don’t want him to own it. Others are excited about the idea of Musk behind the reins of the platform. Musk wanted to buy Twitter, but now he won’t. Twitter is trying to force Musk to buy the platform, even though he no longer wants to, creating more mixed emotions for Twitter’s user base.
It’s kind of awkward overall, and with Twitter shareholders now voicing support for the deal to go ahead, things are sure to get even wilder in October.