The investment management company Elliot Management has closed a deal with Twitter so that Jack Dorsey remains the social media network’s CEO.
The deal closure is $2 billion in share buyback and has Elliot gaining a seat on the board of directors at Twitter, says an NBC report from March 9. The agreement also has the private equity company Silver Lake on board to make a $1 billion investment in the social media network for a board seat, while a 3rd board member still remains to be designated. Dorsey commented this about the deal:
“Silver Lake’s investment in Twitter is a strong vote of confidence in our work and our path forward. They are one of the most respected voices in technology and finance and we are fortunate to have them as our new partner and as a member of our Board.”
Dorsey’s Plans Are Raising Concerns…
Elliot Management’s founder and billionaire investor Paul Singer started in late February to make genuine efforts in order to remove Dorsey from the seat of Twitter’s CEO. What seems to be behind his move is Dorsey’s time being split between Twitter and the crypto payment company Square, both firms valued at $5 billion. Dorsey’s wish to move to Africa also had a said in all this.
…But He Has Support
After news on Dorsey’s potential removal have been released, many of the most important players in the crypto industry have started expressing their support for the Twitter exec. Vitalik Buterin, the co-founder of Ethereum and Elon Musk, Tesla’s CEO who’s known for endorsing the crypto space lately, have said they don’t want Dorsey to step down from his position as Twitter’s CEO. Buterin, trying to question a new potential CEO competence, had this to say:
— vitalik.eth (@VitalikButerin) March 5, 2020