On Friday 28th October 2022, Elon Musk took over Twitter as he completed his $44 billion deal. Elon Musk fired Twitter CEO Parag Agrawal with immediate effect. After exiting Twitter, Parag Agrawal is expected to receive $42 million.
According to reports, 100% of Agrawal’s unvested equity awards will vest. So, the top executive won’t be departing without any rewards. In fact, he will get a sum of approximately $42 million.
According to research firm Equilar, The estimate accounts for the accelerated vesting of all stock awards as well as a year’s worth of base pay for Parag Agrawal. When Agrawal was the chief technology officer, his total salary was $30.4 million. Agrawal was reportedly paid $1 million a year as the CEO.
After co-founder Jack Dorsey abruptly left his position in November of last year, Parag Agrawal assumed the role of CEO. The advent of Musk as a major stakeholder and an increasingly vocal critic of the company’s incumbent leadership quickly ended Agrawal’s tenure as CEO.
Parag Agrawal was unlikely to keep his job after Musk’s involvement. Musk stated that he “does not have confidence in management” in one of his filings regarding the deal.
Elon Musk acquired control of Twitter on Friday after a protracted legal spat with the social media site. Musk had cancelled the acquisition agreement in July, alleging Twitter had misled him about the number of bot accounts on its network.
On October 17, Musk and Twitter were scheduled to square off in Delaware’s Court of Chancery; Twitter planned to ask the judge to order Musk to finalize the $44 billion deal. But earlier this month, Musk suggested moving forward with his first $44 billion offer and asking for Twitter’s lawsuit to be dropped.
One of Elon Musk’s first actions was to remove the senior management. CEO Parag Agrawal, who was chosen for the position by company co-founder Jack Dorsey in November of last year, is among those exiting. Along with the CEO of Indian descent, Mr Musk also let go of two other senior executives and Twitter’s head of legal, policy, and trust, Vijaya Gadde.