Elon Musk’s offer to buy Twitter for $43 million has now made it to Saturday Night Live. The show made fun of the business magnate during the Weekend Update segment.
Hosts Colin Jost and Michael Che traded lines about the proposed deal. Che started by saying that Musk made the offer so that he could loosen its free speech rules. He said:
“That’s how badly White guys want to use the N-word.”
Meanwhile, Jost wondered why Musk wanted to buy Twitter and said that it used to be something that seemed important and fun, and now he looks at it as confusing and depressing.
“And come on, Elon built electric cars, he’s going to Mars, why is he even involving himself with Twitter? It would be like if the Prince of England gave it all up for just to marry an actor from Suits.”
During the show’s opening sketch, cast member Mikey Day, as Musk, said he was making a bid to purchase Easter by offering $43 billion.
Elon Musk offers to buy Twitter
Elon Musk offered to buy Twitter and make it private. He made the offer because he felt that the company needed to be transformed.
An SEC filing stated that Musk offered to acquire all the shares on Twitter he does not own for $54.20 per share, valuing the company at $41.4 billion.
This represents a 38% premium over the closing price on April 1, the last trading day before Musk revealed that he had become Twitter’s biggest shareholder. It also represents an 18% premium over its closing price on April 13.
The Tesla Motors CEO said it was his best and final offer, according to the SEC filing. He added that if it is not accepted, he would have to reconsider his position as a shareholder.
The entrepreneur sent an offer letter to the company on Wednesday night which read:
“I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy. However, since making my investment I now realize the company will neither thrive nor serve this societal imperative in its current form. Twitter needs to be transformed as a private company.”
Twitter issued a statement on April 14 confirming that they had received the offer. They said the board would carefully review the proposal to determine the course of action that they believe is in the best interests of the company and all Twitter stockholders.
However, Wedbush Securities’ tech analyst Dan Ives said it would be difficult for Twitter to reject Elon Musk’s bid at the price he is offering. Ives said:
“Musk is putting the Twitter board’s backs against the wall. The premium is at a level that will be hard to see other bids occurring.”
To get a return on a bid this high, Twitter needs to do more to bring in subscriber revenue and cut costs. Musk’s commitment to using the company to promote greater free speech doesn’t do much except increase its profitability.
“Musk making this about free speech is the exact opposite of what every other corporate raider would do about monetizing the company’s value. It’s historic and bizarre at the same time.”
Musk has 81.6 million followers on Twitter, which is more than any other CEO.