According to two people familiar with the matter, Twitter has made its first interest payment on a loan provided by banks to fund billionaire Elon Musk’s purchase of the social media company last year.
Twitter raised about $300 million last week (approx.
The financing was led by Morgan Stanley, Bank of America and Barclays.
The banks declined to comment, while Twitter and Musk did not immediately respond to Reuters requests for comment.
The sources declined to be identified because the details of the payment are not public.
Banks committed US$13 billion (about Rs.1,10,000) to fund Tesla’s CEO last year muskTwitter’s acquisition of Twitter has abandoned plans to sell the debt to investors amid uncertainty about the social media company’s fortunes and losses, Reuters reported, citing people familiar with the matter.
Sharon Yeshaya, Morgan Stanley’s chief financial officer, told Reuters this month that the bank’s mark-to-market losses on corporate loans include debt to Twitter.
Last week, The Wall Street Journal reported that Musk’s team was exploring using up to $3 billion (around Rs. 24,600) in new donations to repay some of the $13 billion in debt Twitter incurred for its buyout of the company has accumulated. citing people familiar with the matter.
© Thomson Reuters 2023
