The renegotiated term of the deal also stated that
Posted: Thu Jan 02, 2025 9:33 am
5 billion – $7 billion of senior secured bank loans, $6 billion in subordinated debt, $6.25 billion in personal loans, $20 billion in cash equity, and $7.1 billion from independent investors. Musk sent another letter to the chairman of the Twitter board, urging him to accept his offer, as it was his best and final offer. If Elon Musk had carried out his threat of reconsidering his position as a shareholder and dumped his 9.
2% stake, Twitter’s stock would have gone down significantly. After a series vp business development email lists of meetings, Twitter advisors J.P. Morgan and Goldman Sachs approved the deal while claiming that it was a fair one financially. Twitter’s board publicly accepted Elon Musk’s deal to buy Twitter and make the company private; however, they decided to renegotiate the terms of the deal by making a few additions. One of the clauses included in the deal was that Elon Musk had to go through with the deal, and Twitter had the power to force him to complete the acquisition if all terms were met.
Also, a $1 billion termination fee was included in the new terms of the deal, to be paid by Elon Musk if he violates the contract and Twitter decides to get out of the deal. Elon Musk could not publicly criticize the company or its officials while the deal was ongoing. While the deal seemed to be going well, Elon Musk suddenly announced in a tweet that he was placing the deal on hold, citing the high percentage of spam or fake accounts in Twitter’s daily active users as the reason.
2% stake, Twitter’s stock would have gone down significantly. After a series vp business development email lists of meetings, Twitter advisors J.P. Morgan and Goldman Sachs approved the deal while claiming that it was a fair one financially. Twitter’s board publicly accepted Elon Musk’s deal to buy Twitter and make the company private; however, they decided to renegotiate the terms of the deal by making a few additions. One of the clauses included in the deal was that Elon Musk had to go through with the deal, and Twitter had the power to force him to complete the acquisition if all terms were met.
Also, a $1 billion termination fee was included in the new terms of the deal, to be paid by Elon Musk if he violates the contract and Twitter decides to get out of the deal. Elon Musk could not publicly criticize the company or its officials while the deal was ongoing. While the deal seemed to be going well, Elon Musk suddenly announced in a tweet that he was placing the deal on hold, citing the high percentage of spam or fake accounts in Twitter’s daily active users as the reason.