Ex-Twitter Bosses Eligible for Over $112 Million ‘Golden Parachute’ Payments, Screenshots

Twitter’s top executives, including Parag Agrawal and Vijaya Gadde, will enjoy “golden parachute” payments worth more than $122 million (approximately Rs 1,000) after being hit by the company’s new owner, Elon Musk, fired. A golden parachute is essentially a contract that entitles the top executives of a company to substantial benefits in the event they lose their jobs following a merger, takeover or acquisition. This measure is also known as ‘poison’ because it can act as a defense against predatory takeover. In August, US-based corporate research firm Equilar estimated that former CEO Parag Agrawal alone could receive a payout of $42 million (about $350 million) if he is terminated. contract after takeover.

Debt-financed deals have become a costly exercise even for Musk, the richest man in the world. Specifically, legal costs may have reached tens of millions of dollars after Musk tried to terminate the contract with Twitter in July, arguing that the company misled him about the number of bot accounts on the social network.

Agrawal is likely to receive the largest payout, worth $57.4 million (about Rs. 470 filing.

The three executives also hold 1.2 million cumulative shares, likely to be acquired by Musk as usual in any takeover. Those payments will be worth USD 8.4 million (approximately Rs 70) to Agrawal, USD 22 million (approximately Rs 180) to Segal and USD 34.8 million (approximately Rs 290) to Gadde.

Following the close of a $44 billion (about 3,63,700 crore) acquisition, Elon Musk began reforming the microblogging platform’s policies and wasted no time remodeling it by cutting staff reductions and referrals plan for a council to determine content decisions.

In the first few changes, he purged the company’s top executives shortly after he closed the tentative deal in which Twitter CEO Parag Agrawal and chief financial officer Ned Segal left the company. the company’s San Francisco headquarters.