Fly, little birds: Damning internal research emerges just before Elon Musk buy
With just days to go before Elon Musk closes his acquisition of Twitter, internal research has revealed an exodus of the social media platform's most valuable users.
Earlier this week, Musk said he would complete the buyout by Friday, October 28, a court-ordered deadline, during a video conference call with bankers helping to finance the $44 billion deal,Wall Street lenders are said to be finalizing $13 billion of debt financing, with the largest chunk coming from Morgan Stanley, which is still doing due diligence before sending Musk the cash. Twitter stock traded as high as $53.18 at the news – not quite Musk's $54.20-a-share price.
The transaction puts the banks in a shaky position, even if they are primed to handle the shock. Under normal conditions, they would pass debt commitments to money managers through junk bonds and leveraged loans ahead of a deal's closure, but with days left and poor global credit conditions, the banks face losses of around $500 million.said his team would assist for up to 30 days after the deal's closure, with Musk participating in any investor meetings for up to two hours.