In the wake of Musk’s buyout bid, former Twitter CEO Dorsey slams the company’s board of directors

Jack Dorsey remains on Twitter’s board of directors, but has stated that he intends to resign when his term expires at the 2022 annual meeting of shareholders, which is set for late May.

Elon Musk

In a series of tweets on Sunday, former Twitter CEO Jack Dorsey chastised the company’s board, which is now entrusted with reviewing a buyout proposal from billionaire Elon Musk.

“It’s continuously been the company’s dysfunction,” Dorsey said in response to another Twitter user who described the “plots and coups” that occurred early in Twitter’s existence.

Earlier in the discussion, he replied to another tweet. “Excellent boards don’t make good companies, but a terrible board will destroy a firm every time,” said venture capitalist Fred Destin, citing a “Silicon Valley aphorism.”

“Big facts,” Dorsey said.

Dorsey is still on Twitter’s board of directors, but he intends to step out when his term expires at the 2022 annual meeting of shareholders in late May.

Tesla CEO Elon Musk’s $43 billion bid to acquire the firm and take it private is now being considered by the board. It’s also attracting more attention, according to reports. On Friday, Twitter’s board of directors approved a “poison pill” shareholder rights plan, which allows shareholders to acquire stock at a discount if one person or entity owns more least 15% of the company’s outstanding common stock without the board’s permission. Before his takeover bid, Musk stated that he owned more than 9% of the firm.

The plan, according to the board, would “reduce the likelihood that any entity, person, or group gains control of Twitter through open market accumulation without paying all shareholders an appropriate control premium or without providing the Board with sufficient time to make informed judgments and take actions that are in the best interests of shareholders.”

Dorsey, who also co-founded the firm, had previously served as its CEO, but was ousted in 2008 and replaced by another of his co-founders. In 2015, he returned to run the firm.

“The Twitter board collectively holds basically no shares!” Musk tweeted on Saturday, referring to Dorsey’s departure from the board. Their economic interests are objectively not aligned with those of shareholders.”

When Dorsey was sacked in 2008, the corporation confiscated many of his shares, and he “wound up with virtually little of the firm.” He also stated that in 2015, he returned 1% of the firm to employees. Despite this, with around 2.25 percent of the company’s shares, Dorsey is the company’s largest insider investor behind Musk’s 9.1 percent, according to FactSet. A request for comment from Twitter was not immediately returned.