Elon Musk Secures $46.5 Billion For Funding Twitter Bid

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Tesla CEO Elon Musk has secured a $46.5 billion financing commitment to acquire Twitter. According to a filing with U.S. regulators, the billionaire is also considering starting a tender offer for the company’s outstanding shares.

To finance the transaction, Musk will put up $$33.5 billion which will include $21 billion in equity abs $12.5 billion of margin loans against some of his Tesla shares.

“As previously announced and communicated to Mr. Musk directly, the board is committed to conducting a careful, comprehensive, and deliberate review to determine the course of action that it believes is in the best interest of the company and all Twitter stockholders,” a Twitter representative said.

Musk had previously offered to buy all of the remaining shares on Twitter in a bid valuing the company at $43 billion. According to Musk, the company needed to be transformed into a private company to become “the platform for free speech around the globe.”

Twitter moves to thwart Musk’s takeover attempt with a “poison pill.” A poison pill is a financial device that companies use against unwelcome suitors.

The Sources for this piece include an article in Reuters.

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