Chief Executive Officer of Tesla Motors, Elon Musk, a few hours ago completed the takeover of social networking platform Twitter Inc. Soon after the completion of the takeover, several news agencies reported that top executives of the social networking company were fired from their positions. Latest reports state that those executives who were shown the exit door will receive huge amounts of money as severance and payouts under various schemes.
The top three executives of the company will reportedly receive an amount close to 100 million dollars as part of exiting from the social media platform.
According to Bloomberg News, the Chief Executive Officer of Twitter, Parag Agrawal will receive nearly 50 million dollars as severance and previously granted equity awards. Parag Agrawal became CEO of the company in 2021 when co-founder Jack Dorsey decided to step down from the position of organization head. Mr. Agrawal was earlier CTO of the social media firm.
Media reports suggest that the top-tier executives of the company are eligible to receive a severance package worth their one-year salary if Twitter was purchased by another entity and the top executives lose their jobs in the process of purchasing. The health insurance cost of these top executives, for one year, also will be borne by the company itself which will amount to almost 31000 dollars.
Along with Parag Agrawal, Chief Financial Officer, Ned Segal and Vijaya Gadde, head of legal, policy and trust will also receive huge sums of money from the company for losing their jobs. Ned Segal will get 37 million dollars while Vijaya Gadde is eligible for 17 million dollars.
Elon Musk and Twitter have engaged in a legal battle for the past few months as Tesla CEO decided to pull out of a 44 billion dollar acquisition offer, which he made in the month of April. Judge Kathaleen McCormick who has been presiding over the lawsuit filed by Twitter in Delaware Court had given Elon Musk time till October 28, 2022, to complete the acquisition of Twitter at his earlier offer.
Twitter Inc based in San Francisco, California is one of the most popular social communication platforms with more than 450 million monthly active users. As of 2021, Twitter Inc had total assets worth 14060 million US dollars.