Elon Musk Not Joining Twitter’s Board Anymore in Shock Reversal

Elon Musk is not going to be a part of the board of administrators for Twitter in spite of everything, based on Twitter CEO Parag Agrawal who made the announcement in a tweet in a single day. Musk, who lately bought a 9.2% stake within the firm, making him the biggest single shareholder, was scheduled to affix the board on Saturday however determined to tug out on the final minute.

“The Board and I had many discussions about Elon joining the board, and with Elon directly,” Agrawal tweeted at 11:13 p.m. ET on Sunday.

“We were excited to collaborate and clear about the risks. We also believed that having Elon as a fiduciary of the company where he, like all board members, has to act in the best interests of the company and all our shareholders, was the best path forward. The board offered him a seat,” Agrawal continued.

But one thing clearly went mistaken between this previous Tuesday, when Musk was supplied a seat, and Saturday, the day he was purported to assume his new function on Twitter’s board.

“We announced on Tuesday that Elon would be appointed to the Board contingent on a background check and formal acceptance. Elon’s appointment to the board was to become officially effective 4/9, but Elon shared that morning that he will no longer be joining the board. I believe this is for the best,” Agrawal tweeted.

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“We have and will always value input from our shareholders whether they are on our Board or not. Elon is our biggest shareholder and we will remain open to his input,” Agrawal continued.

Musk, who’s the wealthiest individual on the planet with a web price of roughly $274 billion, paid about $2.9 billion to realize 9.2% of Twitter’s obtainable inventory. But, based on a letter dated April 4, 2022, Musk would have been forbidden from shopping for greater than 14.9% of the corporate’s frequent inventory if he had assumed his place on the board. That stipulation has led loads of folks on social media to invest that maybe Musk desires to purchase a bigger share of the corporate.

One factor that’s not talked about in Agrawal’s word, however may very effectively have performed a job in Musk’s determination to not be a part of the board, is the controversy surrounding Musk’s acquisition of the inventory and his failure to promptly report his buy to monetary regulators. Musk was 11 days late to announce his buy to the SEC, based on the Washington Post—a transfer that possible earned him a revenue of about $156 million. Musk may face a tremendous, although it is going to be tiny in contrast with the billionaire’s whole wealth.

Musk had spent the week suggesting he’s trigger a serious shake-up at Twitter, closely suggesting he’d add an edit button, one thing that many customers have known as for, but has the potential to trigger chaos on the platform. Musk additionally requested on April 9, the identical day he turned down the provide to affix the board, whether or not Twitter was “dying,” an odd query for a person who supposedly has a monetary curiosity in seeing the social media web site succeed.

Countless conservative activists have additionally requested Musk to re-instate individuals who’ve been banned from Twitter for breaking the positioning’s guidelines, most notably former president Donald Trump, who was banned from the social media platform after inciting the rebellion on January 6, 2021 that sought to overturn the presidential election.

Agrawal ended his word Sunday evening by making an attempt to sound optimistic in regards to the firm’s street forward, one thing that Twitter staff fear about given Musk’s urged meddling with the corporate—together with a current joke ballot about altering the identify from Twitter to Titter. Musk is 50 years outdated, it needs to be famous.

“There will be distractions ahead, but our goals and priorities remain unchanged. The decisions we make and how we execute is in our hands, no one else’s,” Agrawal tweeted.

“Let’s tun out the noise, and stay focused on the work and what we’re building.”