Twitter’s acquisition of Twitter Inc. is ‘an amazing moment’
A year ago, Twitter Inc.’s board voted to approve the sale of its 140-character Twitter account, a move that had been in the works for years.
The company’s stock price plummeted in the wake of the announcement.
The deal was announced on Feb. 12.
The deal’s price tag: $4.5 billion, according to Yahoo Finance.
Its terms: Twitter will pay $2.5 million per share for each share.
Twitter will get $2 billion in cash, which it will use to pay off its debt, pay for acquisitions and pay for debt servicing.
Twitter will also receive $4 billion in debt service, which means that it will be able to pay its debt to other creditors.
It’s also required to issue $1.5 trillion in convertible debt.
The acquisition also comes at a critical time for Twitter.
In the last six months, the social media company has gone through a number of internal and external turmoil.
The company lost CEO Jack Dorsey last month after it was revealed he had an undisclosed condition for his future health.
It also announced that it was closing two Twitter-owned businesses.
In addition, the company announced a merger with LinkedIn.
A Twitter spokesman did not respond to questions about whether Dorsey’s condition had any bearing on the sale.
The board’s decision was unanimous.
Twitter shares fell 8% in after-hours trading.