Elon Musk’s $43 billion bid for Twitter follows in the footsteps of Warren Buffett’s take-it-or-leave-it strategy. However, investment bankers, investors, and analysts said he needed a bombshell bid and more information on his financing for this strategy to work
These offers were deemed fair by their acquisition targets and were backed by Berkshire Hathaway’s committed financing. The market, on the other hand, deemed Musk’s bid to be too low and lacking in financing details.
“I don’t think the Twitter board of directors will have a hard time saying no to this deal. It’s not an exorbitant premium, and it’s not overpriced right now “said Chris Pultz, Kellner Capital’s portfolio manager for merger arbitrage.