In two tweets, Twitter CEO Parag Agrawal confirmed Musk’s new role on the board. He called Musk “both a passionate loyalist and an outspoken critic of the service” and said he would “bring great value to our board”. Musk responded via Twitter saying he was looking forward to “making significant improvements to Twitter in the coming months!” He is also a passionate loyal and strong critic of the service which is exactly what we need on @Twitter and in the conference room, to make us stronger in the long run. Welcome Elon! – Parag Agrawal (@paraga) April 5, 2022 “The Company will appoint Mr. Musk to the Company ‘s Board of Directors (the’ Board of Directors ‘) to serve as a Class II director with a term ending at the Company’ s Annual General Meeting in 2024,” the statement said. “As long as Mr. Musk serves on the Board of Directors and for 90 days thereafter, Mr. Musk will not become, either alone or as a member of a group, the actual holder of more than 14.9% of the Company’s common stock that year. including for the purposes of the financial report through derivative securities, exchange contracts or hedging transactions’. On Monday, Musk announced through a SEC statement that he had bought a 9.2% stake in Twitter, despite his complaints about freedom of speech on the platform. The acquisition of Musk makes him the largest single shareholder in the company. Shortly after the revelation, Musk asked his fans about creating an “edit” button. Agrawal tweeted “the consequences of this poll will be significant” and warned users to “vote carefully”. I look forward to working with the Parag & Twitter board to make significant improvements to Twitter in the coming months! – Elon Musk (@elonmusk) April 5, 2022 Jack Dorsey, the former CEO of Twitter, said he was “happy” that Musk was on the Twitter board, saying he was “deeply interested in our world and Twitter’s role in it.” Dorsey resigned as CEO in November 2021, but will remain on the board until sometime in May. I’m very happy that Elon is on the Twitter board! He cares deeply about our world and Twitter’s role in it. Parag and Elon are leading with their hearts and will be an incredible team. https://t.co/T4rWEJFAes – jack⚡️ (@jack) April 5, 2022 According to CNBC, Musk’s investment could cause more problems with the SEC. The SEC requires anyone with more than 5 percent in the company to disclose their purchase within 10 days. Musk first acquired the shares on March 14, 2022 and did not disclose this information until April 4, 2022 – 21 days after the event. According to CNBC, the SEC fines for this type of violation are usually not excessive (at least for the richest man in the world) and tend to be around $ 100,000. Musk has teased the SEC several times over the content of his tweets. In 2018, the SEC sued Musk for tweeting that he had “secured funding” to privatize Tesla. A judge later ordered a lawyer to approve Musk’s tweets before publishing them. The SEC is currently investigating Musk for his tweet polling his users whether he will sell 10% of his shares to Tesla.
