Financial institutions on Wall Street have reportedly offloaded the remaining X-linked debt of Elon Musk, according to a reliable source.
Let's Study Elon Musk's Twitter Takeover, Ain't It a Peach!
Lemme spill the tea about our boy, Elon Musk, buying Twitter aka X. Sources tell our site the final piece of debt related to Musk's $44 billion acquisition is now in the hands of some banks, including Morgan Stanley, Bank of America, Barclays, and Mitsubishi UFJ.
Wanna know what's cooler than Elon's new toy? The $1.2 billion worth of loans that were sold for 98 cents on the dollar, boasting a sweet 9.5% yield! Now, that’s some fancy investors, don't ya think?
You know why banks are smiling like cheshire cats? 'Cause Musk's affinity with ex-Big Man, Trump, and the future bright for X - that's pretty much twerking the revenue odds in their favor. They've almost shaken off $13 billion that they've been clutching onto for two years thanks to Musk's deal.
Here's the scoop on how Musk put the cash together to buy X:- $6.5 billion secured term loan- $500 million revolving credit facility- $3 billion unsecured loan- $3 billion of additional secured loans- A helping hand from Morgan Stanley and six other generous lenders, who lent him a total of $13 billion[4][5].
You remember when we reported that Morgan Stanley was peddling the last piece from its $1.23 billion worth of X-related debt in a 9.5% fixed-rate loan at 97.5 cents to 98 cents? Yeah, that's been cleared off now[2].
And, even though our site reached out to Morgan Stanley, Barclays, Mitsubishi UFJ, and X for a comment, noone was willing to chat it up with us. Bank of America rightfully kept mum.
You've gotta love the Wall Street Journal - they broke this news earlier today. Last month, Musk made waves saying his AI venture, xAI, had snatched X for a whopping $33 billion. Now, X is Musk's baby, and Twitter's just a distant memory. 👋🏼👋🏼👋🏼
- The $13 billion loan that Elon Musk received from Morgan Stanley and six other lenders was a significant part of the $44 billion he used to purchase Twitter.
- The last piece of debt related to Musk's Twitter acquisition, worth $1.2 billion, was sold for 98 cents on the dollar, yielding a return of 9.5%.
- Elon Musk's acquisition of Twitter has allowed him to finance an additional $\text{13 billion}$ that banks had been holding onto for two years, significantly boosting their revenue.
