Elon Musk registers three ‘X Holdings’ affiliates to support Twitter takeover bid

Elon Musk He registered three companies in Delaware under the name “X Holdings” to support his bid to buy Twitter and take Social media special giant.

according to deposit with the Securities and Exchange Commission On Wednesday, X Holdings I will act as the parent company overseeing a potential transaction, while X Holdings II will merge with Twitter and use to purchase its existing common stock. a Separately in the SEC filing He adds that X Holdings III will be used to help fund the deal.

House citizens are catching up on Twitter to keep Elon Musk’s giving records

musk Explore whether to start bidding To get all outstanding shares of Twitter’s common stock, citing no response from the board of directors $54.20 per share offer.

Musk says he has received pledges of about $46.5 billion to help fund a potential deal, including nearly $21 billion in equity financing and about $25.5 billion in debt financing through Morgan Stanley Senior Funding and other companies, including Bank of America and Mizuho Bank, Barclays, MUFG, Société Générale and BNP Paribas.

Twitter told FOX Business Thursday that it was receiving Musk’s updated, non-binding offer, adding that it was “committed to conducting a careful, thorough, and considered review to determine a course of action that it believes is in the best interest of the company and all of Twitter’s shareholders.”

Twitter’s reaction to ELON MUSK only proves change is needed

The musk that has 9.2% share On Twitter, he has been a vocal critic of the platform and its CEO, Parag Agrawal, recently questioning whether the company adheres strictly to the principles of free speech.

Although musk was in the beginning Invited to join Twitter’s board of directorsis later offer rejected. As part of joining the Board of Directors, Musk will be able to own no more than 14.9% of Twitter’s stock while serving on the board or for 90 days thereafter. Musk’s board term expired at Twitter’s 2024 annual meeting.

Tesla CEO Elon Musk during a tour of the futuristic foundry plant of the Tesla Gigafactory on August 13, 2021, in Grünheide near Berlin, Germany. (Patrick Ball – Paul / Getty Images / Getty Images)

After announcing Musk’s $43 billion bid, Twitter adopted a limited-term shareholder equity plan, commonly referred to as a poison pill, to prevent it or any other entity or group from acquiring beneficial ownership of 15% or more of Twitter’s existing common stock in a transaction not approved by the Board of Directors. The plan will expire on April 14, 2023.

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It is unclear if X Holdings can also be used to combine Musk’s other companies, SpaceXAnd Teslaand Neuralink and Boring Company.

In 2012, musk express interest in creating a holding company that owns shares in both Tesla and SpaceX. In 2020, Tesla investor Dave Lee He proposed to form a holding company called XWhich Musk said was a “good idea”. In addition to musk The domain is owned by X.coman online payment company that merged with PayPal.

caught recently Chris Anderson from TED Consolidating everything into one company would be ‘difficult’.

“Telsa is a public company, and the investor base of Tesla, SpaceX and certainly the Boring Company and Neuralink are very different,” Musk explained. “It’s not easy to combine these things.”