On October 27, 2022, when Elon Musk’s acquisition of Twitter has become effectivethe action of the group was suspended from the New York Stock Exchange. The company will be officially canceled on November 8, 2022.
Twitter will become a 100% private company.
In a letter to the Securities and Exchange Commission, the New York Stock Exchange declared “ its intention to withdraw the entire class of listed securities from listing and listing on the opening of business on November 8, 2022, in accordance with the provisions of Rule 12d2-2 (a) “.
The document also states that the merger is complete and that Musk’s subsidiary, X Holdings II, now owns all actions of the social network. Each Twitter share was traded for $ 54.20. The New York Stock Exchange also informs the SEC that due to the stated conditions, the stock was suspended from trading prior to the opening of the market on October 28, 2022.
Just before the close, Twitter’s stock was trading at $ 53.70, slightly below Musk’s offer price. As a future private company, Twitter will no longer have to publish quarterly information such as the number of monthly active users or the profits received. However, the financial institutions that have lent money to Elon Musk are sure to pressure the billionaire to make the business profitable as soon as possible.
There is no longer any doubt that the company will form a new board of directors after the dissolution of the current members. The new Twitter boss will also have to choose a new management team. Indeed, one of his first measures he was to fire chief executive Parag AgrawalCFO Ned Segal, General Councilor Sean Edgett and Chief of Security Vijaya Gadde.
Elon Musk will likely assume the position of CEO initially, waiting to find the right person to position. According to a report by Bloomberg, the billionaire has agreed to pay record bonuses to former management members to encourage them to leave quietly. Parag Agrawal will receive $ 50 million, while Ned Segal and Vijaya Gadde will receive $ 37 million and $ 17 million respectively as part of their severance packages.
The rumors are still going around the possible dismissal of 75% of Twitter staff. Indeed, revelations from Washington Post suggested that Musk would like to go from 7,500 employees to 2,000 …