Vocabulary:
I will read the words, meanings, and sample sentences. Then, repeat after me.
- board /bawrd/
- takeover /TEYK-oh-ver/
- unsolicited /uhn-suh-LIS-i-tid/
- restrict /ri-STRIKT/
- constitutional /kon-sti-TOO-shuh-nl/
[noun] – the group of people who are responsible for controlling and organizing a company or organization
The proposal needs to be approved by the board first before implementation.
[noun] – a situation in which a company gets control of another company by buying enough of its shares
The company’s takeover could mean additional job losses.
[adjective] – not asked for
There are no records for the demo tape requests. These are unsolicited.
[verb] – to limit the movements or actions of someone
The government has passed a new law to restrict travel during this pandemic.
[adjective] – allowed by or contained in a constitution
Such policy is not constitutional.
Article reading:
Please read the whole article. Then, I will check your pronunciation and intonation.
Social media giant Twitter’s board has prepared for a hostile takeover a day after billionaire Elon Musk launched a $43 billion offer to purchase the platform. Twitter has implemented a “limited-duration shareholder rights plan”, otherwise known as a “poison pill”. This program will prevent anyone from acquiring more than a 15 percent share in the company. It accomplishes this by allowing others to purchase additional shares at a discounted price. The Twitter board of directors presented their defense strategy to the US Securities and Exchange Commission (SEC), claiming that it was necessary in light of Musk’s “unsolicited, non-binding proposal to acquire Twitter”. Former financial economist for SEC Josh White explained that a poison pill is “one of those last lines of defense against a hostile bid takeover”. He added: “We call it the nuclear option.” According to White, the board has stated, “that they don’t feel like it’s a high enough value for the company”.
A hostile takeover bid is when one firm tries to buy another against the wishes of that company’s management – in Twitter’s instance, the executive board. Musk said earlier this month that he owns a 9.2 percent share in the company, but he is no longer the largest stakeholder. Vanguard Group, an asset management firm, announced that its funds now own a 10.3 percent investment in the company. Musk has already stated that he believes Twitter restricts freedom of speech, and he restated this position at the Vancouver event. He has asserted that his major motivation is to expand free speech on Twitter, a constitutional right in the United States.
A hostile takeover bid is when one firm tries to buy another against the wishes of that company’s management – in Twitter’s instance, the executive board. Musk said earlier this month that he owns a 9.2 percent share in the company, but he is no longer the largest stakeholder. Vanguard Group, an asset management firm, announced that its funds now own a 10.3 percent investment in the company. Musk has already stated that he believes Twitter restricts freedom of speech, and he restated this position at the Vancouver event. He has asserted that his major motivation is to expand free speech on Twitter, a constitutional right in the United States.
Discussion Questions:
I will read each question. Then, please answer them.
- How often do you use social networking sites?
- How popular is Twitter in your country? Please tell me more about it.
- If you were Twitter’s board member, would you accept Musk’s bid? Why or why not?
- Do you agree that Musk’s proposal was “unsolicited”?
- What do you think would happen if Musk succeeds in buying Twitter?
Summarization
Please summarize the whole article using your own words and expressions. You will have one minute to prepare before you answer.
Describe:
Please explain the definition of each word listed below based on your understanding. You can provide example sentences if needed.
- platform
- shareholder
- proposal
- fund
- assert