Elon Musk has unveiled a $46B funding plan to fund a bid for Twitter as he progresses with one of the largest leveraged buyouts in history, according to a report by FT on Thursday.
- The billionaire CEO of Tesla has prepared $25.5 billion in debt, including a margin loan of $12.5 billion against his shares in the EV giant, from a group of banks led by Morgan Stanley.
- Separately, Musk stated that he would offer $21 billion of equity for the deal, but he did not provide further details of where this percentage of financing would be obtained from.
- Securing the funding is a critical milestone for the Tesla Chief, who made a $43 billion hostile takeover of Twitter private last week.
Musk is expected to use the financing deal to unveil a tender offer to all Twitter shareholders in the coming days, a strategy to intensify pressure on the social media firm’s board to negotiate with him. TSLA up +7.42%, TWTR up +0.30%