Twitter names Tesla CEO Elon Musk to its board of directors, according to a Submit with the Securities and Exchange Commission. Musk will serve as Class II director until 2024. This is a kind of feature that can be used as a protective measure.
“The company will appoint Mr. Musk to the company’s board of directors (the ‘board’) to serve as a Class II director with a term expiring at the company’s annual shareholders’ meeting in 2024,” the company said. “As long as Mr. Musk serves on the Board of Directors and for 90 days thereafter, Mr. Musk will not, alone or as a member of any group, become the beneficial owner of more than 14.9% of the outstanding common stock of the company at that time, including for these purposes economic exposure through derivative securities, swaps or hedging transactions.”
He is both a passionate believer and an intense critic of the service, which is exactly what we need? @Twitter, and in the boardroom, to make us stronger in the long run. Welcome Elon!
— Parag Agrawal (@paraga) Apr 5, 2022
In a tweet, Twitter CEO Parag Agrawal confirmed Musk’s new role on the board. He called Musk “both a passionate believer and an intense critic of the service” and said he would be “of great value to our Council.”
On Monday, Musk bought a 9.2 percent stake in Twitter, despite his free speech complaints on the platform. This makes Musk the largest shareholder in the company. The same day Musk bought himself on Twitter, he polled followers about creating an Edit button. Agrawal replied by saying “the implications of this poll will be important.”