portifornia@lemmy.worldtoNews@lemmy.world•Elon Musk’s Twitter Takeover Is Now the Worst Buyout for Banks Since the Financial CrisisEnglish
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29 days agoI’m guessing here, I don’t think Musk, the person, took out the loans, I think xitter did. So if xitter defaults, Musk’s assets aren’t on the line.
Edit for clarity: ‘leveraged buyout with debt reassignment post acquisition’
‘he only used some of his cash to buy Twitter for $44 billion. For the rest of it, he used a tactic called a leveraged buyout and spent $13 billion of borrowed money on the acquisition. And now Twitter—not Elon—is on the hook for that loan.’