3 ms·
So there's a few things that could be in play here. 1. The tech market right now is a shit show, Twitter has only been saved from the general market trends bec
by mikeryan 4y ago
So there's a few things that could be in play here.
1. The tech market right now is a shit show, Twitter has only been saved from the general market trends because of the Elon offer. Once the Elon offer closes or falls through, Twitter's stock will correct. While Twitter is healthier is the time to get set up for that inevitable correction. The current market is driving fairly drastic action in the Tech Sector, just ignoring it because you're, potentially, a lame-duck CEO would be irresponsible.
2. These firings and changes may have been in the works since Parag took over so this is a course of action that predates the Elon offer.
- runnerup 4y agoSo…if the deal goes through the stock cannot “correct” because there will be no open market for twitter shares. Elon is proposing to buy all the shares, not just a controlling majority. Twitter would no longer be on the NYSE. So twitter can be saved from general market trends indefinitely, as long as whoever is bankrolling it can continue feeding it cash whenever twitter operates at a loss.
- paxys 4y agoElon isn't going to hold 100% of the shares. He already has a ton of VCs and other outside investors (including some funds) lined up to finance the deal. So Twitter will still be active on private markets.