Texts Indicate Twitter Founder Dorsey Tried to Add Musk to Company’s Board Before Acquisition
Jack Dorsey, former CEO of Twitter, Inc. wanted billionaire Elon Musk to join the board of the social media business before the current legal dispute between Musk and Twitter played out in the media. He did not, however, anticipate the other directors supporting him, according to a court document filed on Thursday.
According to multiple outlets, on March 26, Dorsey texted Musk, saying that the board was just “super risk averse and saw adding you as more risk.” Musk did make arrangements to join the board a little more than a week later, but he then changed his mind and proposed buying the business instead. Texts that have recently surfaced in the lawsuit, reveal that the former CEO had reached out to Elon Musk in March, when the latter bought 9% of Twitter’s stock. He also allegedly tried to clear the air between Musk and Twitter head Parag Agrawal after the former vented his frustrations over Agrawal ‘s management of Twitter.
After deciding to purchase Twitter for $44 billion, Musk changed his mind and attempted to back out of the deal. Twitter is suing Tesla CEO in order to get him to honor his half of the bargain. The two giants are expected in Delaware Chancery Court in mid-October, reports say.
Dorsey argued that the board’s strategy was foolish and backward in the court document, which has been partially redacted. However, he noted that he had a limited amount of influence because he just “had one vote, 3% of the company, and no dual-class shares. He called the setup arduous. According to reports, the two businessmen had been discussing Dorsey’s proposal that Twitter should be “an open source protocol” that should not be supported by a corporation, but rather by a foundation.
Once he left the Twitter board in mid-May, Dorsey reportedly declared that he intended to complete this job and correct the faults, and claiming that being a corporation was Twitter’s “original sin.” According to Dorsey, when the board opted against adding Musk on the board, he felt he needed to work on quitting.