Elon Musk in Twitter Deal New Financing, Jack Dorsey Talks – The Hollywood Reporter

Tesla and SpaceX boss Elon Musk has obtained letters from buyers committing practically $7.14 billion in new financing for his takeover of social media large Twitter, in accordance with a regulatory submitting on Thursday. Musk can be in talks to carry Twitter co-founder Jack Dorsey and others on board as buyers. 

The submitting listed 19 buyers, together with current Twitter shareholder Prince Alwaleed Bin Talal Bin Abdulaziz Alsaud of Saudi Arabia, who’s committing round 35 million shares of the corporate to retain an funding in it after Musk takes it non-public, in addition to sovereign wealth fund Qatar Holding, a belief of Oracle Corp. co-founder Larry Ellison and enterprise capital agency Sequoia Capital.

Musk obtained “equity commitment letters …, providing for an aggregate of approximately $7.139 billion in new financing commitments” in reference to the deal for Twitter, the regulatory submitting stated.

That signifies that the $12.5 billion margin mortgage he had obtained to amass the social media large has been lowered to $6.25 billion, with the takeover now to be financed by $27.25 billion in fairness and money, it defined.

Musk can be in talks to carry extra present Twitter shareholders, together with Dorsey, on board as buyers after the buyout, in accordance with the submitting. He “is having, and will continue to have, discussions with certain existing holders of common stock (including Jack Dorsey) regarding the possibility of contributing such shares of common stock to parent, at or immediately prior to the closing of the merger, in order to retain an equity investment in Twitter following completion of the merger in lieu of receiving merger consideration in the merger,” the submitting stated. “Subject to the terms of the merger agreement, any such contribution commitments may replace portions of the financing commitments” beforehand reported by Musk.

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