Elon Musk is undoubtedly one of the biggest trolls of modern times.
The tech mogul got a seat on the Twitter Inc. (NYSE: TWTR) board of directors by acquiring a 9.1% stake in the company, spreading its purchases over 60 days to acquire a total of 73,115,038 shares of the social media platform.
Related Link: Analysis: Elon Musk’s Twitter TKO to Board of Directors
What happened? Well, a lot. Musk originally filed a Form 13G on April 4 showing passive ownership in Twitter; it was the same day that Musk was asked to serve on the company’s board.
The next day, April 5, Musk amended the filing to show he was taking an active stake in the company.
Shortly after, the CEO of Twitter Parag Agrawal announced via a Tweeter that Musk would formally accept the invitation to serve on the board.
Under the terms of the original agreement, Musk would have been a Class 2 board member until the 2024 annual meeting of shareholders and would not become the beneficial owner of more than 14.9% of the company’s common stock. the society.
Musk interrogates Twitter users to ask whether or not they would like an edit button, and in a since-deleted tweet, he asked if Twitter’s headquarters in San Fransico should be converted into a homeless shelter since “no one shows up anyway.”
On Monday morning, CEO Agrawal took to Twitter to share an internal company memo stating that Musk would not be joining the company’s board, stating, “Elon Musk has decided not to join our board. administration. Here is what I can share about what happened.
“We announced on Tuesday that Elon would be appointed to the board subject to a background check and formal acceptance. Elon’s appointment to the board was scheduled to take effect on 4/9, but Elon shared that very morning that he will no longer be joining the company’s board of directors, I believe that is for the best.
Why is this important: Musk may not be a member of Twitter’s board, but he will continue as a board advisor.
As seen in an amended 13D filing shared on Monday morning, Musk may not only own more than 14.9% of Twitter, but he will also engage in discussions with the board and/or members of the management team. regarding, including without limitation potential business. strategic combinations and alternatives, the business, operations, capital structure, governance, management and strategy.
The filing goes on to state that Musk may express his views to the board and/or members of the management team and/or the public through social media or other channels regarding the activities, products and service offerings of the issuer.
Benzinga’s opinion: The amended filing proves that Musk can have his cake and eat it, too, now that he has unlimited access to buy as much Twitter stock as he wants while still maintaining a meaningful voice in the Twitter boardroom.
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