World's richest man and Twitter's largest shareholder Elon Musk on Monday said that the micro-blogging site is set to save $3 million a year on board members' salary if his bid to take over the company succeeds.
"Board salary will be $0 if my bid succeeds, so that’s $3 million per year saved right there," Musk tweeted.
Board salary will be $0 if my bid succeeds, so that’s ~$3M/year saved right there— Elon Musk (@elonmusk) April 18, 2022
Elon Musk was responding to a tweet by investment advisor Gary Black who pointed out that Twitter boards' interests are not aligned with the shareholders.
"The board serves to represent shareholders. If they refuse to act in the best interest of shareholders, they should be removed and replaced by new board members who understand their fiduciary obligations," he tweeted.
The $TWTR board’s interests aren’t aligned with TWTR shareholders. The board serves to represent shareholders. If they refuse to act in the best interest of SHs, they should be removed and replaced by new board members who understand their fiduciary obligations. https://t.co/MqsysyktkT— Gary Black (@garyblack00) April 17, 2022
Black then added that if the Tesla and SpaceX CEO takes over Twitter, the board members would lose their $250K-$300K per year jobs.
"Let me point out something obvious: If Elon Musk takes Twitter private, the Twitter board members don’t have jobs any more, which pays them $250K-$300K per year for what is a nice part-time job. That could explain a lot," Black tweeted.
Responding to another tweet which pointed out that the top 12 Twitter shareholders except Musk collectively own about 77 shares of the micro-blogging site, the tech billionaire said that apart from founder Jack Dorsey, "the Twitter board collectively owns almost no shares!"
"Objectively, their economic interests are simply not aligned with shareholders," Musk tweeted.
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