Twitter announced in a filing on Friday that it will reject Egon Durban’s resignation from the board of directors. This happened two days after shareholders voted against his re-election at an annual meeting. Durban is a supporter of Elon Musk, who has proposed a $44 billion (approximately Rs. 3,41,800 crore) proposal to take Twitter private. Durban did not obtain a majority of votes in the re-election earlier this week. According to the company this happened due to “voting practices of certain institutional investors regarding board service limitations.”
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Durban, who sits on the boards of six other companies, agrees to limit his board service to five public companies by May 25, 2023. Durban was a “effective member” of the board, according to the social media giant, and has “unparalleled operational experience of the business.”
The vote against Musk’s re-election on Wednesday may reflect shareholder mistrust of his proposal or readiness to pay what he promised, but investors are anticipated to rally.
The vote against Musk’s re-election on Wednesday may reflect shareholder skepticism of his proposal or readiness to pay what he offered, but investors are anticipated to overwhelmingly accept the transaction at a future meeting.
Durban’s Re-Election Blocked By Twitter Shareholders
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Musk’s $44 billion (approximately Rs. 3,41,800 crore) acquisition of Twitter aids by Silver Lake Partners, where Durban is co-CEO. Silver Lake promised to help Musk finance his proposed $72 billion (approximately Rs. 5,59,400 crore) attempt to take Tesla private in 2018.
On May 13, 2022, Musk tweeted that the transaction was “temporarily on hold” as he sought additional information regarding the amount of fraudulent accounts on the platform. Separately, the Securities and Exchange Commission of the United States announced on Friday that it was investigating Musk’s April declaration of his investment.
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Varushi Yadav
I'm a 4th-year law student at the University of Petroleum and Energy Studies, along with that I'm a creative content writer. So far I have written law-related articles, I like to explore more and I'm always ready to learn more.