$43 billion is not enough for Twitter: Elon Musk may have put high prices for Twitter, but still the big investors of Twitter are not accepting this offer of Elon Musk enough. Recently, it has been seen that Al Waleed bin Talal Al Saud, a member of the Saudi royal family and a big Twitter investor, has said that Elon Musk’s offer is much less than its actual value given the growth of Twitter.$43 billion is not enough for Twitter. If we talk about its popularity, there is hardly any phone in the whole world in which Twitter does not run.
Because of this Elon Musk should think again now. Elon Musk has offered $43 billion to buy Twitter. If we go deep into this offer, we see that the price that Elon Musk has offered per share is the price of Twitter’s share at the time of the offer. was more than 30%. This amount is so big that you can guess from the fact that the total debt on Sri Lanka, which is facing economic crisis, is less than this. However, the latest statement from the Saudi prince indicates that even at this cost, Elon Musk will still have to spend more money to control the company.
Statement of the prince of Saudi Arabia
The Prince of Saudi Arabia made a tweet on 15 April in which he said that I do not believe that given the future of Twitter, the offer made by Elon Musk is even close to the real price of Twitter. As a large and long-term investor in Twitter, my colleagues and I are turning down this offer. By my associate I mean Kingdom Holding Company which is an investment company headed by Talal. Elon Musk offered $54.2 per share in the case for the deal. According to a report, Elon Musk will have to spend $ 43 billion on this price to complete the cash deal. Elon Musk took a 9% stake in Twitter on April 4. After which he has presented an offer to increase the stake. He said Twitter would have to make changes to fulfill its purpose. And he also said in strong words that if his offer is not accepted, then he will review his position as a shareholder in this situation, that is, it can be taken to mean that in such a situation he can also exit the company.
Will Elon Musk be able to raise such a huge amount?
According to the same report, it will not be easy for Elon Musk to make a cash deal of $ 43 billion. It may be one-sixth of his wealth, but the special thing is that most of the billionaires’ wealth is from the stake in their companies and they do not have such a huge amount in cash, but it is difficult to say that Elon Musk is very rich. If he is saying something, then he also has the power to fulfill it. In Musk’s case, this gain has come from the shares of Tesla. To complete the cash deal, Elon Musk will have to sell his major stake or raise debt. Both can prove to be difficult for Elon Musk. If Elon Musk wants to raise the rest of the money through Tesla with the $3 billion in cash he has, he will have to sell a fifth of his stake in Tesla. Their doing so can also become the reason for the fall in the price of the company’s shares.