Twitter retains Musk ally Durban, refuses to resign


© Reuters. FILE PHOTO: Elon Musk’s Twitter account appears in front of the Twitter logo on a smartphone in this photo illustration taken April 15, 2022. Reuters/Dado Ruvic/Illustration


(Reuters) – twitter company (NYSE: ) said in a filing Friday that it would not accept Egon Durban’s resignation from the board, two days after shareholders blocked his re-election at the annual meeting.

Durban is an ally of Elon Musk, who has offered to take Twitter private for $44 billion.

Twitter said Durban failed to secure a majority in re-election earlier this week due to “certain institutional investors’ voting policies on board service restrictions.”

Twitter said Durban, who serves on the boards of six other companies, has agreed to reduce its board service commitment to no more than five public company boards by May 25, 2023.

The social media company added that Durban was an “effective member” of the board and brought “unparalleled knowledge of industry operations”.

Wednesday’s vote against re-election could signal shareholder doubts about Musk’s plans or his willingness to pay what he offers, but investors are expected to overwhelmingly approve the deal at another yet-to-be-scheduled meeting.

Silver Lake Partners, of which Durban is co-CEO, helped close Musk’s $44 billion acquisition of Twitter. In 2018, Silver Lake offered to help fund Musk’s plan to take electric car maker Tesla (NASDAQ: ) Inc private for $72 billion.

Musk tweeted on May 13 that the Twitter deal was “on hold” while he sought more information on the proportion of fake accounts on Twitter.

Separately, the U.S. Securities and Exchange Commission said on Friday that it was investigating Musk’s disclosure of his Twitter stake in April.

Shares of Tesla Inc, where Musk is chief executive, rose nearly 5 percent, while Twitter edged up in early trade.

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