Tesla CEO Elon Musk was to join the board after becoming Twitter’s largest shareholder, But now Twitter CEO Parag Agrawal announced on Monday, April 11 that Musk would not join the Twitter board.
“Allen’s appointment to the board was to officially take effect from April 9, but Allen said the same morning that he would no longer be on the board. I believe it is for the best,” Agarwal said in a statement.
“The Board and I had several discussions with Allen about joining the board and directly with him. We were excited to collaborate and clarify the risks. We also believed that Allen would serve as a subsidiary of the company. All are like board members. They have to act in the best interest of the company and all our shareholders, that was the best way forward. The board offered them a seat.”
Parag Aggarwal also said that Musk’s decision not to join Twitter’s board is a good one. He said, “We are and will always be taking inputs from our shareholders. Whether they are on the board or not. Allen is our largest shareholder and we will be open to their input.
The statement comes just days after the CEO announced the appointment of Musk to the board on April 5. “I’m excited to share that we’re appointing @elonmusk to our board! Through conversations with Elon in recent weeks, it became clear to us that he would bring great value to our Board.”
Musk recently became Twitter’s largest shareholder with a 9.2 percent stake worth $3 billion.