Misc.May 24, 2023
BBTpspskitteh

How does financing of Musk's acquisition of Twitter work?

From google, Elon paid $46.5 billion for twitter. What I understand: $4B - he already has a 10% stake in twitter before the acquisition $22B - his own money through equity financing. What I don't understand: $13 billion in debt financing - Loan from BoFA. This is a loan with Twitter itself as the collateral. $7B - He got from Larry Ellison and Saudi prince. Does this mean the prince and Larry own corresponding stakes of Twitter? So Elon is not the only owner? Or is that just a loan? Does he have to pay it back? Anyone has what loan terms would be for that? Again the loan from BoFA, since twitter is the collateral and we now know that twitter is nowhere as valuable, does Elon still have to pay that difference back? Is he personally responsible for it?

Reddit swaggert May 24, 2023

I'll give you a $13B loan from BoFA deez nuts

Google πŸ™„πŸ€¦β€β™‚οΈπŸ€·β€ May 24, 2023

I don't think you understand what collateral means.

BBT pspskitteh OP May 24, 2023

Can you explain?

Google πŸ™„πŸ€¦β€β™‚οΈπŸ€·β€ May 25, 2023

Ask Bard or chatgpt

Zillow Group TrainReck9 May 25, 2023

Ask Bard