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His offer included a meme number and was overvalued even in April '22 (by 54% !), claimed he was going to combat the spam bots, and then tried to back out, citi

His offer included a meme number and was overvalued even in April '22 (by 54% !), claimed he was going to combat the spam bots, and then tried to back out, citing the same spam bots. The event was described as a "hostile takeover" at the time [0], a term which has stuck all the way through to most summaries of the event [1] [0] https://variety.com/2022/digital/news/elon-musk-offering-to-buy-twitter-1235232598/ https://variety.com/2022/digital/news/elon-musk-offering-to-... [1] https://en.wikipedia.org/wiki/Acquisition_of_Twitter_by_Elon_Musk https://en.wikipedia.org/wiki/Acquisition_of_Twitter_by_Elon...

somenameforme 4y ago
A hostile takeover has a specific meaning. It's simply a takeover attempt where a buyer approaches shareholders instead of the company's management, this is usually (if not always) because the latter fails. And it always comes with a premium and drama, precisely because it goes against the wishes of the management of a company. And the premium is also logical because presumably shareholders of a company "believe" in that company, and an outsider now wants to take it over. A good example [1] is when Inbev (massive multinational beer company) purchased Anheuser-Busch (Budweiser). It made the purchase of Twitter look downright cordial, but was probably outside of most of our bubbles. [1] - https://en.wikipedia.org/wiki/Anheuser-Busch#Acquisition_by_InBev https://en.wikipedia.org/wiki/Anheuser-Busch#Acquisition_by_...
nailer 4y ago
Yea, to make people buy your company you need to offer a premium. He backed out saying he was lied to about the current level of fake accounts, which is also reasonable if that was the case.
- heavyset_go 4y ago
  > which is also reasonable if that was the case. It would have been reasonable if he had performed due diligence and came to that conclusion, but he explicitly chose to waive due diligence, and then tried to renege anyway.

somenameforme 4y ago

A hostile takeover has a specific meaning. It's simply a takeover attempt where a buyer approaches shareholders instead of the company's management, this is usually (if not always) because the latter fails. And it always comes with a premium and drama, precisely because it goes against the wishes of the management of a company. And the premium is also logical because presumably shareholders of a company "believe" in that company, and an outsider now wants to take it over. A good example [1] is when Inbev (massive multinational beer company) purchased Anheuser-Busch (Budweiser). It made the purchase of Twitter look downright cordial, but was probably outside of most of our bubbles. [1] - https://en.wikipedia.org/wiki/Anheuser-Busch#Acquisition_by_InBev https://en.wikipedia.org/wiki/Anheuser-Busch#Acquisition_by_...

nailer 4y ago

Yea, to make people buy your company you need to offer a premium. He backed out saying he was lied to about the current level of fake accounts, which is also reasonable if that was the case.

heavyset_go 4y ago
> which is also reasonable if that was the case. It would have been reasonable if he had performed due diligence and came to that conclusion, but he explicitly chose to waive due diligence, and then tried to renege anyway.