Elon Musk has decided to not be a board member of the microblogging site Twitter. The company’s CEO Parag Agarwal took to Twitter to announce Musk’s decision of opting to not join as a board member. This comes days after Agarwal announced that Musk would be appointed to the board. Musk recently bought a 9.2 per cent stake in Twitter, making him the largest shareholder of the company. His stake is significantly higher than Twitter’s founder and former CEO Jack Dorsey, who currently has about a 2.5 per cent stake.
Agarwal shared the email brief sent to the company employees, sharing some of the details about what happened.
Elon Musk to Not Join Twitter Board
Twitter CEO Parag Agarwal confirmed that Elon Musk has decided to not join as a board member of the company, days after the formal announcement. In his note to the company employees, Agarwal said that the board had many discussions about Elon joining the board. “We were excited to collaborate and clear about the risks. We also believed that Elon as a fiduciary of the company where he, like all board members, has to act in the best interest of the company and all our shareholders, was the best path forward. The board offered him a seat,” Agarwal said.
The Twitter CEO further added that Musk’s appointment to the board was to become officially effective April 9, but the billionaire investor shared that same morning he will no longer be joining the board,” he further added.
“I believe this is for the best. We have and will always value input from our shareholders whether they are on our board or not. Elon is our biggest shareholder and we will remain open to his input,” Agarwal said.
The Twitter CEO had previously announced that the company decided to bring Musk on board as he would bring great value to the team. “He’s both a passionate believer and intense critic of the service which is exactly what we need on @Twitter, and in the boardroom, to make us stronger in the long-term,” Agarwal had said. Musk, in response, had said that he is looking forward to working with Agarwal & Twitter board to make significant improvements to Twitter in the coming months.
