Tags: elon musk takeover of twitter | funding | stock swap | investment banker

'Stock Swap' a Funding Option for Musk's Twitter Takeover

Musk tweet
Elon Musk tweet announcing his $43 billion offer at $54.20 a share to acquire Twitter (AP)

By    |   Friday, 15 April 2022 10:02 AM EDT

Investment bankers are telling Tesla CEO Elon Musk that he could fund his acquisition of Twitter via a "stock swap" or by exchanging $43 billion worth of Tesla shares for Twitter shares.

This is according to a Tweet by New York Post columnist and Fox Business Network contributor Charles Gasparino: "Investment bankers crunching numbers on how@elonmusk can finance a takeover of @Twitter have come up with this scenario: Do a stock swap, exchanging $43B-plus of his $TSLA shares for $TWTR shares since the investor base is similar (growth) and its a non taxable event."

On Thursday, April 14, Musk, speaking at a TED Talks event in Vancouver, British Columbia, was asked if he had a Plan B for purchasing the social media giant. Musk repsonded that he would tackle that question another day.

Twitter is considering a poison pill to block Elon Musk, a 9.2% shareholder, from significantly increasing his stake to purchase the social media platform, a source tells The Wall Street Journal.

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StreetTalk
Investment bankers are telling Tesla CEO Elon Musk that he could fund his acquisition of Twitter via a "stock swap" or by exchanging $43 billion worth of Tesla shares for Twitter shares.
elon musk takeover of twitter, funding, stock swap, investment banker
166
2022-02-15
Friday, 15 April 2022 10:02 AM
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