Twitter is reportedly close to accepting a deal that would see the company’s ownership passing to Tesla and Space-X founder Elon Musk, a move that would give the world’s richest man the helm of the influential social networking service. An agreement could be announced as soon as Monday, reported the New York Times.
Twitter may announce the $54.20-per-share deal later on Monday once its board has met to recommend the transaction to Twitter shareholders, the sources said, adding it was still possible the deal could collapse at any moment.
Musk, the world’s richest person according to Forbes, is negotiating to buy Twitter in a personal capacity and Tesla is not involved in the deal. Shareholders in other Musk ventures, including Space-X and The Boring Company have often balked at the media-savvy CEO’s attention-grabbing actions, which some worry may distract the mogul from properly managing his existing assets.
Related: Elon Musk Offers To Buy Twitter
Twitter has not been able to secure a ‘go-shop’ provision under its agreement with Musk that would allow it to solicit other bids once the deal is signed, the sources said. Still, Twitter would be allowed to accept an offer from another party by paying Musk a break-up fee, the sources added.
The sources requested anonymity because the matter is confidential. Twitter and Musk did not immediately respond to requests for comment.
Twitter shares were up 4.5% in pre-market trading in New York at $51.15.
Musk, a prolific Twitter user, has said it needs to be taken private to grow and become a genuine platform for free speech.
The 50-year-old entrepreneur, who is also CEO of rocket developer SpaceX, has said he wants to combat trolls on Twitter and proposed changes to the Twitter Blue premium subscription service, including slashing its price and banning advertising.
The billionaire, a vocal advocate of cryptocurrencies, has also suggested adding dogecoin as a payment option on Twitter.
He has said Twitter’s current leadership team is incapable of getting the company’s stock to his offer price on its own, but stopped short of saying it needs to be replaced.
“The company will neither thrive nor serve this societal imperative in its current form,” Musk said in his offer letter last week.
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