According to a person familiar with the situation, Elon Musk has informed co-investors who pledged to assist in funding his $44 billion acquisition of Twitter Inc that he hopes to seal the deal on the social media company by Friday.
Sequoia Capital, Binance, Qatar Investment Authority, and other equity investors have received the necessary paperwork for the financing pledge from Musk’s lawyers, the source added.
The move is the strongest indication yet that Musk intends to meet a deadline set by a Delaware court judge to finalize the acquisition by Friday.
According to a report from Bloomberg News, the banks who agreed to help finance Musk’s acquisition of Twitter have completed putting together the final debt financing arrangement and are currently completing the relevant papers.
On Monday, Musk promised to seal the deal during a video conference call with bankers who are helping fund the acquisition, according to the report.
Twitter shares jumped on the announcement, gaining 3% to $52.95 on Tuesday, approaching Musk’s offer price of $54.20.
For the acquisition, Musk has promised to provide $46.5 billion in equity and debt financing, covering the $44 billion price tag and closing costs.
KEEP READING:
- Mirae Asset in talks to financially aid Musk in Twitter deal
- Texas sues Google for capturing biometric data of millions
A total of 13 billion dollars in debt financing will be provided by banks, including Morgan Stanley and Bank of America Corp, to fund the purchase.
Larry Ellison, a co-founder of Oracle Corp., and Saudi Prince Alwaleed bin Talal will invest $7.1 billion as equity investors.
The deal’s closure will put an end to months of rumors that the unpredictable entrepreneur would back out of the deal.
Musk has promoted himself as a supporter of free speech and has criticized Twitter’s way of policing violent or abusive content, which has resulted in the banning of several well-known conservative speakers.
