Elon Musk likely to close Twitter deal by October 28: Report

Billionaire Elon Musk is expected to close the Twitter acquisition deal by Friday, October 28, as per a report by Bloomberg News.  

The report mentioned that Musk has already informed bankers and investors that the Twitter buyout is now expected to close. The execution of the deal is likely to happen via a video conference call with bankers who are also helping fund this deal. 

The report said that the banks have finished putting together the final credit agreement and now, they are in the process of signing the documentation in order to close the deal soon. 

Musk has pledged to provide $46.5 billion in equity and debt financing for the acquisition, which covers the $44 billion price tag and closing costs, said Bloomberg. Banks, including Morgan Stanley and Bank of America have committed to provide $13 billion of debt financing to support the deal. In addition, equity investors, including Oracle co-founder Larry Ellison and Saudi Prince Alwaleed bin Talal, are reportedly pitching in $7.1 billion.

Twitter has been embroiled in an acquisition drama with the Tesla CEO since he launched a $44 billion takeover bid. Musk agreed to buy Twitter in April this year, but in July, he said that he was terminating the deal over concerns about the number of fake and spam bot accounts. However, the company rejected the claim and responded with a lawsuit against the billionaire in a bid to force the deal to go through. 

Meanwhile, last week, Musk told prospective investors that he plans to eliminate nearly 75% of Twitter’s staff as part of his deal to take over the social media company, the Washington Post reported, but the following day it was again reported that an internal memo circulated by Twitter said that there were “no plans for any company-wide layoffs”. 

The court has given both sides time till October 28 to work out details after Musk agreed to purchase Twitter for $54.20 a share. If both parties fail to chalk out the details, there will be a trial in November, it said.