when will he take it in full? – Liberation

The agreement between Twitter leaders and Elon Musk endorses the acquisition of the American billionaire’s social network. However, the procedure for him to remove the company from the stock market and take full control was not immediate.

The formalization on Monday of Tesla’s boss’s Twitter acquisition for 44 billion euros could mark the end of a soap opera that has lasted since the beginning of April, when he acquired 9.2% of the company’s capital. An announcement that further worries that the American billionaire intends to do it according to his words ”the platform for freedom of expression in the world ”. Understand, a platform controlled to the lowest where everyone’s anger, rage and other hate speech can flow.

But for such a project to succeed, Elon Musk must manage to get the social network off its stock market list. Because of his arrogance, he must succeed. The operator of Space X has also been able to counter all of Twitter’s responses, especially its defense strategy called “poison pills” to try to prevent this takeover bid (takeover bid). “Everyone really needs to oppose him so that Elon Musk cannot cope with his operation, so that he can drop the case. Politicians, regulators and shareholders …»list Alexandre Baradez, head of market analysis at IG France.

Supervision of the SEC and the FTC

However, the American billionaire will have to talk to these actors to confirm Twitter’s removal from the New York Stock Exchange, where the company is listed. Starting with the Securities and Exchange Commission (SEC), the American stock market police, which must estimate whether Elon Musk’s funding plan to buy Twitter is viable. “The takeover initiator must have the financial means to get to its target”, added Catherine Karyotis, professor of finance at Neoma Business School. The boss of Tesla and SpaceX shouldn’t be too worried that the wealth is estimated at nearly 270 billion dollars. In particular, he obtained $ 25.5 billion in loans from Morgan Stanley and other banks. To this total is added 21 billion dollars that will come from his personal fortune, the main part of which consists of Tesla shares. Therefore, the offer must be accepted by the SEC in the coming hours.

Another American institution needs to look at Elon Musk’s Twitter takeover, the Federal Trade Commission (FTC). Its role is to determine whether this acquisition will not create a risk for consumers as well as for competition. Such a decision is therefore more political than financial. However, there is little chance that this antitrust body will derail the American billionaire’s operation. The two companies he leads, Tesla and Space X, have no risk on Twitter and vice versa.

Procedure of delisting

For Alexandre Baradez of IG France, these two regulatory procedures represent more than simple “administrative delays” only real barriers. It still lists a third: the vote of the current shareholders of the social network. Some were angry at the offer of taking Elon Musk. They can try to force the billionaire into his desire to get his hands on the company. Saudi Prince Al-Walid bin Talal al-Saud, whose Kingdom Holding Company is one of the major shareholders (5.2%), rejected Elon Musk’s first attempt in mid-April. He felt that the stock buyback offer proposed by Tesla’s CEO (54.20 dollars), did not match “the true value of Twitter”.

However, the fact that the board of directors finally accepted the acquisition offer on Monday may suggest that the billionaire has managed to convince unruly shareholders. The vote should therefore be smooth for Elon Musk, and the buyback share procedure should begin. This is called a delisting. These stock market operations that allow companies to have freedom are on the rise in a matter of months. In France, Xavier Niel for example rose to 96% of the Iliad. These procedures typically take 20 working days. It’s time for a final repeal before Elon Musk takes over Twitter for good …

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