Musk looks to scrap Tesla margin loan with new Twitter funding – Bloomberg Law
(Reuters) – Elon Musk is in talks to boost sufficient fairness and most well-liked financing for his proposed buyout of Twitter Inc to negate the necessity for a $6.25 billion margin mortgage linked to his Tesla Inc shares, Bloomberg Regulation reported on Thursday.
The billionaire’s advisers, led by Morgan Stanley, have begun soliciting curiosity from potential traders for as a lot as $6 billion in most well-liked fairness financing, the report https://information.bloomberglaw.com/mergers-and-acquisitions/musk-seeks-to-scrap-tesla-margin-loan-with-new-twitter-funding?context=search&index=0 stated, citing individuals with information of the matter.
Twitter declined to touch upon the report, whereas Musk couldn’t be reached for remark.
Musk initially took out a $12.5 billion margin mortgage secured in opposition to his Tesla inventory to assist fund his buy of Twitter. However he lowered that mortgage to $6.25 billion earlier this month after bringing in co-investors.
(Reporting by Tiyashi Datta in Bengaluru; Modifying by Shailesh Kuber and Aditya Soni)
