Tesla’s Chief Elon Musk said that he’d secured several financing commitments totaling $46.5 billion for a Twitter takeover. Elon Musk might have what he needs to pull off a buyout of one of the world’s largest social media companies.
The Tesla and SpaceX CEO said that he has agreements from banks and other entities “committing to provide an aggregate of approximately $46.5 billion” in financing for a potential tender offer to buy Twitter. Additionally, he’s ready to make his pitch directly to shareholders, which would effectively cut out Twitter’s board and management.
Musk also said that Twitter has yet to respond to his proposal for a buyout in a regulatory filing. The filing says Musk has received commitments for $46.5 billion to help finance the potential deal. Musk has secured about $25.5 billion in debt financing through Morgan Stanley Senior Funding and other firms, and he said he had committed about $21 billion in equity financing. The other participating firms are Bank of America, Barclays, MUFG, Societe Generale, Mizuho Bank, and BNP Paribas.
Musk said that given the lack of reaction from Twitter’s board, he is now exploring a tender offer to purchase some or all company shares directly from its stockholders.
Musk has not yet decided if he will make a tender offer for Twitter or whether he will take other steps to further the proposal, the filing states.
A Twitter spokesperson confirmed the company received Musk’s proposal.
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“As previously announced and communicated to Mr. Musk directly, the Board is committed to conducting a careful, comprehensive, and deliberate review to decide the course of action that it acknowledges is in the Company and all Twitter stockholders,” the mouthpiece said a statement.
A series of tweets were posted after Tesla’s chief asserted to have a ‘Plan B’ ready if the board of the social media giant Twitter decides to reject his offer to buy the entire company.
