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Thoma Bravo Could Counter Musk’s Twitter Offer

 |  April 17, 2022

Buyout firm Thoma Bravo has expressed interest in acquiring Twitter, reportedly considering presenting the social media company with an offer that rivals multi-billionaire Elon Musk’s $43 billion bid.

As Reuters reported Friday (April 15), citing sources familiar with the matter, Thoma Bravo, a private equity firm, has told Twitter it was exploring making the bid. The company had more than $103 billion in assets under management at the end of 2021.

Related: Elon Musk Offers To Buy Twitter

The Reuters report says it’s not clear how much Thoma Bravo would be prepared to offer. It’s also not certain that a bid will even come to pass.

Also on Friday, Twitter’s board executed a so-called “poison pill” measure. This is a shareholders’ rights plan that gives Twitter shareholders — aside from Musk — the ability to acquire more shares of the company at a lower price, thus diluting Musk’s stake.

“The Rights Plan will reduce the likelihood that any entity, person or group gains control of Twitter through open market accumulation without paying all shareholders an appropriate control premium or without providing the Board sufficient time to make informed judgments and take actions that are in the best interests of shareholders,” Twitter said in a news release.

Musk announced his intention to purchase Twitter in a filing with the U.S. Securities and Exchange Commission, saying he would purchase the company for $54.20 per share in cash, about 54% premium over the Jan. 28 closing price and a value of about $43 billion, calling the bid “best and final.”

The billionaire and Tesla CEO said he wants to make Twitter a private company and turn it into a platform for “free speech,” according to a filing. The move follows Musk’s purchase of 9% of the company last week and his decision to decline a seat on its board.

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