Twitter’s board of directors has unanimously recommended that shareholders approve the company’s proposed $44 billion sale to Tesla billionaire and CEO Elon Musk, according to a regulatory filing on Tuesday.
Musk reiterated his desire to go ahead with the acquisition last week during a virtual meeting with Twitter employees, even though Twitter shares are still well below the offer price, indicating great doubt that this will happen.
Shares were up about 3% to $38.98 before the opening bell on Tuesday, well below the $54.20 per share offered by Musk.
The company’s stock last reached that level on April 5 when Musk was offered a seat on the board before he offered to buy Twitter completely.
In a filing with the US Securities and Exchange Commission detailing a letter to investors on Tuesday, Twitter’s board said it “unanimously recommends a vote (in favor of) adoption of the merger agreement.”
If the deal closes now, the company’s investors will receive a profit of $15.22 for each share they own.