Posted on 04/11/2022 7:10:44 PM PDT by bitt
Elon Musk’s decision to reject a seat on Twitter’s board of directors could set up a “Game of Thrones”-style battle over the social media platform’s future in the coming days, according to a prominent analyst.
Twitter CEO Parag Agrawal said Musk backed out of an agreement to take a board seat on Saturday, the same day his appointment was set to become official.
The reversal likely stemmed from a dispute between Musk and Twitter over how the billionaire could discuss the company’s activities in public — and more trouble lies ahead, according to Wedbush analyst Daniel Ives.
“This now goes from a Cinderella story with Musk joining the Twitter board and keeping his stake under 14.9% helping move Twitter strategically forward to likely a ‘Game of Thrones’ battle between Musk and Twitter with the high likelihood that Elon takes a more hostile stance towards Twitter and further builds his active stake in the company,” Ives said in a note to investors.
Musk, who is Twitter’s largest individual shareholder following his acquisition of a roughly 9% stake in the company, would have been prevented from acquiring more than 14.9% of the company had he joined the board, Ives noted.
By reneging on the agreement, Musk is no longer subject to that limit – meaning he can acquire even more influence by snapping up more shares.
The announcement came after Musk spent the weekend critiquing Twitter on his account, suggesting the platform might be “dying” and posting a now-deleted poll asking if the company should change its name.
(Excerpt) Read more at nypost.com ...
snip:
.....”Ives outlined three potential scenarios for Musk’s involvement with Twitter in the near future – suggesting he could partner with an activist investment firm to pressure the company; agitate for an overhaul himself through public calls for changes to the platform; or simply decide the investment is not worth the trouble and sell off his shares.
“In our opinion its likely paths 1 or 2 with the Street now focused on Musk’s next poker (next filing/stake in Twitter) move in this ongoing soap opera between Elon and Twitter,” Ives added.
Musk’s change of heart suggests more discord is ahead for Twitter – which was already facing criticism from its own employees over the initial decision to offer the Tesla CEO a seat on its board.”
This is a bit like having Trump as POTUS.
Very entertaining.
Why doesn’t Twatter use its almighty power to delete, suspend, and ban Musk at will?
I bet on Elon.
He’ll either take Twitter over and make it a bastion of free speech or he’ll cash out at a profit and replace Twitter with a better social network.
Musk should encourage a few friendly billionaires to establish independent investment funds similar to Vanguard. They should acquire boatloads of Twit stock, along with other quality investments. After a while, Musk should buy total, or controlling interest in those funds.
Indeed, I was thinking of posting similar thoughts. Even when I disagreed with something Trump did or said (or how he said it), the entertainment value of how he drove the Left absolutely bonkers was worth it.
Elon's doing an admirable job of the same disruption of the Left, at a smaller scale of course, but nevertheless effective and entertaining.
He's a wild card, but a truly brilliant one. Despite the WTF aspect that emerges occasionally, that's an awesome combination -- when it's playing on your team not the opposition.
“..I bet on Elon. He’ll either take Twitter over and make it a bastion of free speech or he’ll cash out at a profit and replace Twitter with a better social network....”
Yep.
Knowing how this guy operates, I’d say he’ll do a hostile takeover, fire the board, install a new board, make it a bastion of free speech...all the while giving the finger to the former foreign CEO while he’s doing it.
Is Musk looking to short Twatter in order to buy a bigger stake in the company?
Won’t stop him from buying more shares, and since he’s not on the board, he can use his shares to tank the stock price at any time.
Musk has near 10% of stock. That’s a lot of voting influence. Considering his extreme popularity and business savvy, I’d expect another large % of shareholders either follow his lead or are inclined his way. Given how many shareholders won’t vote, that’s massive influence - which includes lots of room for retribution if they try to cancel him.
I'll say this: watching Elon Musk is damn' sure entertaining.
Flanking maneuver, twatterites won’t know which way to look.
yeah I would too
He’s a wild card, but a truly brilliant one. Despite the WTF aspect that emerges occasionally, that’s an awesome combination — when it’s playing on your team not the opposition.>>> And it is nice to see very wealthy people enter the fray for freedom. Id would be great to see a few more take some of our other rights and defend them.
He could ignite a non activists coalition of investors too. Think gamestop.
He’s not a man who’s accustomed to being beaten or giving up once he’s in a game. He plays to win.
This is going to be interesting to watch.
” . . . ‘Game of Thrones’ battle.”
If it’s getting political, does this mean Robert Reich as Tyrion Lannister?
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