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Mr. Dorsey has temporarily secured CEO jobs or pushed Twitter to privatization

via:新浪科技     time:2020/3/11 2:09:08     readed:977

Twitter yesterday struck an agreement with Silver Lake (Silver Lake) and hedge fund Elliott Management that ensured the company's CEO Jack Dorsey (Jack Dorsey) would remain in office Yet New York University professor Scott Galloway (Scott Galloway) believes the move could lead Twitter to privatisation.

Twitter announced yesterday that silver lake would invest $1 billion in the company. And with that money, along with cash from the company, Twitter will buy back $2 billion in shares. Meanwhile, silver lake, as well as Elliott Management with Twitter stake of about 4%, will each receive a board seat. The Board of Twitter will, as part of the agreement, establish an interim committee to assess its leadership structure and CEO succession plans and will publish the results by the end of the year.

Earlier this month, activist investors Elliott Management called for Twitter CEO to step down and nominated four new directors. After this agreement, docei will continue to serve CEO, meaning the two sides have been reconciled. At the same time, Twitter saw this arrangement as a victory in the statement.

But we have reason to believe that this victory may be short-lived. According to an article published by foreign media today, for CEO Dorsey and twitter, the real drama has just begun.

What does this arrangement mean, says New York University Professor Galloway? One idea is to hire recruiters to find new CEOs; the other is to take twitter off the open market (i.e., privatize it). "Silver Lake will not buy shares in technology companies, it will privatize them," Galloway wrote on twitter. This is the first step towards that goal. "

At the same time, the board also set a grand new goal for Dorsey: to increase its user base by at least 20% this year, accelerate its revenue growth and win share in the digital advertising market. Maybe Dorsey can finish these tasks and keep his position, but whether the new board wants him to succeed is unknown.

Meanwhile, the stock market fell the most since 2008 on Monday, raising concerns about a global recession. From a product point of view, twitter may be in the right direction, but a bigger economic trend may be against it.

That's why Elliott's idea of Twitter is far from over, and the barbarians who used to be at the gate are now in the boardroom. If the performance of the past five days is a sign, they may not be able to run twitter for long.

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