Durban is an ally of Elon Musk, who has proposed a $44 billion (approximately Rs. 3,41,800 crore) proposal to take Twitter private
Digital Desk: Two days after Twitter's shareholders blocked the re-election of Elon Musk's ally Egon Durban, the company has said in a filing that it will not accept his resignation from the board.
Durban is an ally of Elon Musk, who has proposed a $44 billion (approximately Rs. 3,41,800 crore) proposal to take Twitter private.
According to Twitter, Durban did not obtain a majority of votes in the re-election earlier this week due to the "voting practises of certain institutional investors regarding board service limitations."
Durban, who sits on the boards of six other companies, has agreed to limit his board service to five public companies by May 25, 2023, according to Twitter.
According to the social media company, Durban was an "effective member" of the board and had "unparalleled operational experience in the business."
The vote against Musk's re-election on Wednesday may reflect shareholder scepticism of his proposal or readiness to pay what he offered, but investors are expected to accept the transaction at a future meeting overwhelmingly.
Musk's $44 billion (approximately Rs. 3,41,800 crore) acquisition of Twitter was aided by Silver Lake Partners, where Durban is co-CEO. Silver Lake offered to help finance Musk's contemplated $72 billion (approximately Rs. 5,59,400 crore) attempt to take Tesla private in 2018.
On May 13, Musk tweeted that the Twitter deal was "temporarily on hold" as he sought additional information regarding the number of fake accounts on the platform.
Separately, the US Securities and Exchange Commission said on Friday that it was looking into Musk's disclosure of his Twitter stake in April.
Notably, shares of Tesla, where Musk serves as the chief executive officer, were up nearly 5 per cent, while Twitter rose marginally in early trading.
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