Elon Musk Unveils Financial Bid for $46 Billion Deal to Purchase Twitter, Through the Board or Directly to Shareholders
April 21, 2022 | Sundance
It looks like Musk has created a second alternative to the purchase if the Twitter board of directors refuses the original offer. Within the secondary construct, a tender offer, Musk would be able to bypass the board and go directly to shareholders.
A tender offer instead makes a direct appeal to shareholders to sell—or tender—their shares at a specific price. It can be used in friendly deals, but its real value is to hostile bidders when the target company’s board won’t engage. Tender offers simply go around them.
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