A filing with U.S. regulators on Thursday showed that Elon Musk has secured a financing commitment of $46.5 billion for the acquisition of Twitter and plans to launch a tender offer for its outstanding shares, according to Reuters. Musk offered to buy Twitter in its entirety for $43 billion, prompting its board to adopt a "poison pill" strategy to limit Musk's ability to increase his stake in the social media platform.
Morgan Stanley, which Musk selected to manage his side of the potential deal, is reaching out to banks and other potential investors to support the financing of the offer, according to the New York Times, citing four sources. One source noted that Musk is initially focusing on arranging the debt financing and has not yet begun seeking equity financing for his existing offer.
Additionally, two sources revealed that Musk is evaluating different debt packages, including larger debt known as "high-yield debt," as well as a loan secured by his Tesla shares. It was also mentioned that Apollo Global Management, a private equity firm, is considering being among the parties looking to provide debt financing for the Twitter deal.
