Ad imageAd image

Elon Musk to Seal Twitter Inc Acquisition Deal Today

2 Min Read

Elon Musk will today, Friday, close the acquisition of Twitter Inc.according to people with knowledge of the matter.

The closure of the deal will put to rest months of speculation that the erratic entrepreneur would abandon the takeover.

The banks, which are providing U$13 billion of debt financing, have finished putting together the final credit agreement and are in the process of signing the documentation, one of the last steps before actually sending the cash to Musk.

The world’s richest man is buying Twitter for U$44 billion, the original price he agreed to back in April.

Should Musk not seal the deal today, he will face an uphill legal battle in Delaware Chancery Court next month.

Chancellor Kathaleen St. J. McCormick of the Delaware Chancery Court gave the Tesla CEO until 5 p.m. on Friday to close his Twitter acquisition.

Equity investors, including Sequoia Capital, Binance, Qatar Investment Authority and others have received the requisite paperwork for the financing commitment from Musk’s lawyers, a source said.

Musk has pledged to provide $46.5 billion in equity and debt financing for the acquisition, which covers the $44 billion price tag and closing costs.

Musk in turn will provide U$21 billion in equity financing. He is currently Twitter’s largest individual shareholder, owning a 9 percent stake in the company.

Leave a comment