Tech entrepreneur Elon Musk has fired back at Twitter’s board of directors, vowing to slash the members’ salaries to zero if his takeover bid succeeds.
The Tesla CEO turned the heat up after the Twitter board after they refused his $43 billion all-cash offer to buy the company.
The board has come under mounting scrutiny for rejecting the offer, which many argue goes against the best interest of the shareholders.
Gary Black, the Managing Partner of The Future Fund, said: “The $TWTR board’s interests aren’t aligned with TWTR shareholders.
“The board serves to represent shareholders.
“If they refuse to act in the best interest of SHs, they should be removed and replaced by new board members who understand their fiduciary obligations.
“Let me point out something obvious: If @elonmusk takes $TWTR private, the TWTR board members don’t have jobs anymore, which pays them $250K-$300K per year for what is a nice part-time job.
“That could explain a lot.”
Musk responded with a warning and a reminder there may be more at play here than meets the eye:
“Board salary will be $0 if my bid succeeds, so that’s ~$3M/year saved right there.”
Board salary will be $0 if my bid succeeds, so that’s ~$3M/year saved right there
— Elon Musk (@elonmusk) April 18, 2022
Twitter co-founder and former CEO Jack Dorsey also called out the board, of which he is a member and still one of the largest shareholders.
Venture capitalist Garry Tan posted on Twitter:
“The wrong partner on your board can literally make a billion dollars in value evaporate.
“It is not the sole reason behind every startup failure, but it is the true story a surprising percentage of the time.”
Another Twitter user agreed and said:
“Good boards don’t create good companies, but a bad board will kill a company every time.”
Dorsey said:
“Big facts.”
A Twitter user added a comment that said:
“If look into the history of the Twitter board, it’s intriguing as I was a witness on its early beginnings, mired in plots and coups, and particularly amongst Twitter’s founding members.”
To which Dorsey replied:
“It’s consistently been the dysfunction of the company.”
it’s consistently been the dysfunction of the company
— jack⚡️ (@jack) April 17, 2022
Why, thank you, sir! https://t.co/tealJWLSdP
— Elon Musk (@elonmusk) April 18, 2022
