Twitter Inc TWTR shares jumped nearly 1% on Wednesday closer to the $54.20 buyout level as investors discovered that Tesla Inc TSLA CEO Elon Musk may soon be the CEO of Twitter.
The billionaire changed his Twitter bio to something indicative of a chief executive.
What Happened: Musk changed his bio on Twitter to read “Chief Twit” on Wednesday, ahead of the acquisition of the social platform, which Musk pledged to close by Friday.
After the $44-billion transaction is completed, Musk is expected to appoint himself as interim CEO, according to a May report from CNBC.
Friday is the deadline Delaware Court of Chancery Judge Kathaleen McCormick gave Musk and Twitter to close the buyout deal after issuing a stay in the social media platform's lawsuit against the Tesla CEO.
Why It Matters: The Twitter takeover deal previously stalled after Musk claimed the number of bots or spam accounts on Twitter was much higher than the company stated. A the beginning of the month, Musk made a proposal to buy Twitter at the original offer price of $54.20 per share.
It appears Musk is close to completing the acquisition.
According to information obtained by The Verge, Musk will spend the week in Twitter's San Francisco headquarters, and he will speak to the company's staff directly on Friday.
TWTR Price Action: Twitter has a 52-week high of $54.57 and a 52-week low of $31.30.
The stock was up 0.81% to $53.21 Wednesday afternoon, according to data from Benzinga Pro.
Did you know Elon Musk sold Tesla shares to help finance the Twitter deal? Check out his Insider Trading Page.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.