Jenny talks about the weekend Tweet frenzy regarding the board and the Musk takeover plan and founder Jack Dorsey’s history and current standing with the company. Jenny and Alex discuss details about the poison pill plan which was introduced after Elon Musk made a $43 billion unsolicited bid to take the social media platform private. Musk currently owns a 9.1% stake in the company. The poison pill plan will be triggered if any entity (Musk) acquires 15% or more of all Twitter (TWTR) shares. If that happens, the plan gives other TWTR shareholders the right to purchase the remaining 85% shares at a discount. If that happens, shares of the company then become diluted including the 15% held by the entity (Musk) and therefore the 15% stakeholder would have less control over the company. Finally, Alex demonstrates an example trade using shares of Twitter.
21 Apr 2022