By: Economic & Finance Report
It looks as if Elon Musk may be getting what he wished for. That is obtaining controlling ownership of one of the most superior social media platforms in the world. Sources have indicated that Twitter is in discussions with Musk and his representatives in selling the social media juggernaut.
The Twitter board has recently met with Mr. Musk to discuss the sale and the discussions are ongoing. Elon Musk has already secured $46.5 billion for the takeover. He is also willing to put up $10-$15 billion dollars of his own money to finance the deal. The discussions between Twitter’s board and Elon Musk and his reps are progressing nicely, from what insiders have indicated about the talks.
Elon Musk began purchasing shares of the social media platform in the beginning of April 2022. He is the largest individual shareholder, with 9.2% stake of the company. For financing the deal, Musk is working with Morgan Stanley, and other lenders that are associated with the acquisition. The breakdown of the deal indicates that Mr. Musk will use $21 billion in cash and $12.5 billion in loans, to finance the entirety of the deal. As Twitter continues to pursue its due diligence on the acquisition. Musk has insisted that his interest is remaking Twitter into a vocal instrument of “free speech, expression, views” across the board; while also indicating peoples voices, opinions, views, and speech must also adhere to the rules of law, presented under the scope of the land.
The analysis is quite clear that Twitter will probably no more be an open public company but more attributed under privatization; in which Musk has indicated would be more suitable for a media platform of social influence, such as Twitter. As it stands Elon Musk is ahead of the curve, time will tell if Twitter’s current board will follow suit. -SB
Image Source: Adweek