Twitter takeover lenders plan to hold $12.7bn debt until early 2023 - reports

As investors await clearer business plan

clock • 1 min read

The banks that lent $12.7bn for Elon Musk’s $44bn takeover deal of Twitter are planning to hold the debt in their books until early 2023 as they wait for him to reveal a clearer business plan they can market to investors.

Sources with knowledge of the matter told the Financial Times that the group of lenders, including Morgan Stanley, Bank of America and Barclays, have said that they may be forced to keep the debt on their books for months or perhaps longer, likely ending up suffering significant losses on the financing package. In recent weeks, the banks have had brief meetings with a number of major credit investors in an effort to determine the level of demand for the debt and the discounts they will ultimately need to offer in order to offload it, the report said.  Elon Musk completes $44bn Twitter...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Companies

Trustpilot