New Delhi: Twitter Inc. will face skeptical shareholders during its annual meeting on Wednesday, as doubts remain whether the social media company will complete its deal to be acquired by billionaire Elon Musk at a price agreed.
Tesla’s chief executive tweeted on May 13 that the $44 billion acquisition was “temporarily halted,” while he asked for more information on the proportion of fake accounts on Twitter.
The company said last week it was committed to the deal at the agreed price. However, investors appeared unconvinced, as Twitter shares closed Tuesday at $35.76, representing a 34% discount to the $54.20 per share deal price.
While the virtual annual meeting will include a question-and-answer session on Wednesday, a Twitter spokesperson said the company would not respond to questions related to the deal.
Twitter investors are set to vote on five shareholder proposals, all opposed by management, asking the company to produce a report on its impact on civil rights and another on its lobbying activities.
Donna Hitsrich, professor of finance at Columbia Business School, said the meeting itself would not be “particularly relevant” to the agreement Musk acquired.
He added that if the shareholders approve any of the proposals, it will be non-binding.
Tesla’s chief executive tweeted on May 13 that the $44 billion acquisition was “temporarily halted,” while he asked for more information on the proportion of fake accounts on Twitter.
The company said last week it was committed to the deal at the agreed price. However, investors appeared unconvinced, as Twitter shares closed Tuesday at $35.76, representing a 34% discount to the $54.20 per share deal price.
While the virtual annual meeting will include a question-and-answer session on Wednesday, a Twitter spokesperson said the company would not respond to questions related to the deal.
Twitter investors are set to vote on five shareholder proposals, all opposed by management, asking the company to produce a report on its impact on civil rights and another on its lobbying activities.
Donna Hitsrich, professor of finance at Columbia Business School, said the meeting itself would not be “particularly relevant” to the agreement Musk acquired.
He added that if the shareholders approve any of the proposals, it will be non-binding.