Posted in: 05/05/2022 – 20:02Last updated: 05/05/2022 – 20:00
San Francisco (AFP) – Elon Musk confirmed that he secured $7.14 billion to finance the purchase of Twitter, citing investors Larry Ellison, one of the founders of Oracle, and Saudi businessman Prince Alwaleed bin Talal.
In a document submitted Wednesday to the SEC, the owner of Tesla and SpaceX, Musk mentioned a total of 19 investors who agreed to participate in the purchase of this social network.
Billionaire Larry Ellison, who co-founded the Oracle Informatics Group, will contribute $1 billion.
Among the major contributors are investment fund Sequoia Capital ($800 million) and Fi Capital ($700 million), as well as cryptocurrency exchange Binance ($500 million).
As for Prince Al-Waleed bin Talal, he will put at his disposal regarding 35 million shares he owns in Twitter, as soon as the sale is completed, in order to maintain a participation in the capital of the company that Musk wants to withdraw from trading on the New York Stock Exchange.
These shares are worth regarding $1.9 billion, at Musk’s proposed purchase price of $54.20 per share.
Prince Alwaleed bin Talal initially considered Musk’s offer insufficient compared to the “actual value of Twitter”.
On Thursday, the Saudi prince tweeted, “It is great to communicate with you, my “new” friend, Elon Musk.” “I think you’d be an excellent president of Twitter in order to maximize its enormous potential,” he added.
These financial contributions will allow the world’s richest man to reduce the value of the loan from Morgan Stanley Bank and other financial institutions from $ 12.5 billion to 6.25 billion.
Musk told the regulator that he would continue to seek other funding sources from Twitter shareholders, including the platform’s founder and former chairman Jack Dorsey.
© 2022 AFP
