Twitter (TWTR) has named Elon Musk to its board of directors a day after it was disclosed that
the chief executive officer of Tesla (TSLA) is the social media company’s largest shareholder.
The board appointment ends the possibility of Musk mounting a takeover of Twitter as it caps
his ownership stake in the social media giant at 14.9%, according to a filing with the U.S.
Securities and Exchange Commission (SEC). Musk currently owns 9.2% of Twitter.
Twitter CEO Parag Agrawal said in a tweet that he’s “excited” about Musk joining the board.
“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.”
While it’s unclear exactly what Musk’s intentions are with Twitter, so far he has been good for
the company and its stock. Twitter shares rose 27% on April 4 as investors bet that Musk can
jump start Twitter by virtue of his clout as the biggest shareholder and as an influential user on
the platform, where he has 80 million followers.
Twitter co-founder Jack Dorsey stepped down as the company’s chief executive last year and
will leave the board when his term ends later this year. Dorsey, who is a friend of Musk’s, said in
a tweet that he is “really happy” that Musk is joining the board of directors.
Elon Musk’s term on the board expires at Twitter’s 2024 annual meeting.
