Twitter’s board has “no alternative” however to reject Elon Musk’s provide to purchase the corporate at $54.20 per share, in keeping with CNBC’s Jim Cramer.
“They don’t have any alternative however to reject it,” Cramer mentioned Thursday on “Squawk on the Road.” “If they are saying, ‘we settle for,’ they’re phony. And so they’re not phonies.”
Cramer additionally warned of potential “private legal responsibility” if the board accepts Musk’s provide, which might worth the corporate at round $43 billion.
“That is a kind of the place they’re actually not doing their job, there is no fiduciary accountability if they only say, ‘ what, we take it,'” Cramer mentioned. “There are occasions when particular person administrators are opened up for a degree of lack of fiduciary that I feel crosses the road. This crosses the road.”
“The Twitter Board of Administrators will rigorously evaluation the proposal to find out the plan of action that it believes is in the very best curiosity of the Firm and all Twitter stockholders,” the corporate mentioned in an announcement Thursday in response to the provide.
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