Twitter: Banks financing Elon Musk's buyout may face wide losses
Concerns arise from the banks financing billionaire Elon Musk's acquisition of Twitter.
Video Transcript
RACHELLE AKUFFO: All right, I want to get you up to speed on Twitter after yesterday's fireworks. Now curbed enthusiasm today, though. The stock under pressure, down about 1% there as the end of the Musk-Twitter standoff appears to be in sight. But it's not a done deal yet, not for the case, over $44 billion acquisition. Now, Musk is still scheduled to be deposed in a Delaware court starting tomorrow. And the trial is less than two weeks away.
Now, giving some insight as to what's ahead, Musk tweeted that, quote, "Buying Twitter is an accelerant to creating X, the everything app." Now that's supposed to be a multipurpose super-app ecosystem that goes beyond social media. For now, though, of course, shareholders happy with that original $54.20 share price back in play, but hefty losses expected for the banks financing the deal, and of course, questions about how this affects Tesla, also under pressure today.
