According to reports, twitter said in a document submitted to the U.S. Securities and Exchange Commission (SEC) today that Tesla CEO Elon Musk has obtained an additional financing commitment of about $7.1 billion to finance the $44 billion acquisition of twitter According to the document, new investors include binance, Brookfield, Fidelity Management & research, Lawrence J. Ellison revocable trust and Qatar holding.
Twitter also said in the document that musk will continue to negotiate with Twitter's current specific shareholders (including co-founder Jack Dorsey) to discuss the possibility of selling its twitter shares at or before the completion of the acquisition transaction, so as to retain the equity investment in twitter after the completion of the merger, rather than obtain the merger consideration (merger consideration, i.e. merger price) in the merger.
In order to finance the acquisition of twitter, musk announced on April 21 that it had obtained a financing commitment of $46.5 billion for the acquisition of twitter. Among them, musk himself promised to provide us $33.5 billion (using some of his shares in Tesla to obtain US $12.5 billion in financing commitments, and another US $21 billion through mortgage equity). In addition, several banks, including Morgan Stanley, agreed to provide another $13 billion.
Today, twitter said in a document that the total principal of the previously announced margin loan for this transaction has decreased from $12.5 billion to $6.25 billion.
On April 25, twitter announced that it had reached a final agreement with Musk on the acquisition. Musk will buy twitter for $54.20 a share in cash, and the deal is expected to be completed by the end of this year.
After the deal was announced, musk has sold more than $8.5 billion of Tesla shares to fund the deal.
Twitter shares rose 2.3% in pre session trading today.