The Wall Street Journal reported Tuesday that Musk told investors that they may be able to cash out in as few as three years through a public stock offering.
The Met Gala was held on May 2, 2022.
The board of directors of the company has agreed to a proposal from Musk to take the company private.
While private-equity firms often spend five years restructuring a company before taking it public once more, Musk's tentative three-year timeframe could signal he believes he can rapidly reform Twitter to improve its profitability, according to the Wall Street Journal.
In the last two quarters, growth has failed to meet expectations, as the company has only turned an annual profit in the last two years.
Musk's previous track record indicates that a three-year time frame for taking the social network public again could be overly optimistic. Musk has said that the company has failed to meet deadlines. Musk remarked that he is not good at predicting dates.
On April 4, Musk announced that he had acquired a 9.2% stake in the company and later offered to buy the entire company for $44 billion. The company's board initially rejected the proposal, but accepted it after Musk disclosed he had secured $46.5 billion in financing. This includes margin loans against Musk and his companies. According to the WSJ, Apollo Global Management is interested in joining the deal in order to reduce how much of the remaining $21 billion would come from Musk's own pocket. A $1 billion cancellation fee is included in the deal between Musk and Twitter.
Going public can give a company the opportunity to raise capital, but it also creates an obligation to release financial statements to shareholders and the public, with quarterly reporting pressures reducing the leeway executives have with their company. Musk said that he was considering taking the company private because it was subject to wild swings in stock-price and short-term earnings incentives. Less than three weeks later, Musk said that he would keep the company public.
Musk is looking for more financing for the acquisition.
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