Twitter is reportedly on the verge of accepting Elon Musk’s $43 billion bid to take the social network private, according to a report.
Twitter may announce it has accepted Musk’s offer later on Monday once its board has met to recommend the transaction to Twitter shareholders, sources told Reuters. The talks are fluid and the deal could still fall apart, the sources added.
The Monday report by Reuters sent shares of Twitter soaring by more than 5% in premarket trading on Monday.
Twitter was unable to secure a so-called “go-shop” provision from Musk which would have allowed it to solicit other bids from potential buyers after the deal was signed, according to the report.
Still, Twitter would be allowed to accept an offer from another party by paying Musk a break-up fee, the sources added.
The move comes after Musk reportedly met with several shareholders over the weekend and outlined the specifics of his $54.20 per share bid for the social media platform, according to Reuters. Musk’s outreach forced the company’s board of directors to seriously consider the Tesla CEO’s $43 billion takeover bid, the report said.