Elon Musk threatened to walk away from his $44 billion bid to buy Twitter, the latest sign that his plan to overhaul the social media platform may be starting to fray. Here's what you should know about the deal.
Much of Musk’s initial $46 billion plan to finance the deal used stock in Tesla, his electric vehicle company, as collateral for loans he would use to purchase Twitter shares in the deal. He’s since adjusted the plan so that more investors may be involved, including those with Twitter shares. But it’s not clear exactly who those investors might be.
Experts say Musk can’t unilaterally place the deal on hold, although that hasn’t stopped him from acting as though he can. If he walks away, he could be on the hook for a $1 billion breakup fee. Twitter could also sue to force him to complete the acquisition on the agreed terms.
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