Tesla (TSLA) – Get a free report Shares edged higher on Thursday amid reports that bankers are preparing to ask Elon Musk to pledge more of his stock in the clean-energy carmaker in exchange for federal loans. regarding his $44 billion purchase of Twitter.
Bloomberg reports that Musk may need to provide margin loans to a group of bankers led by Morgan Stanley as a way to replace the existing high-interest paperwork he has arranged to finance the transaction. purchased earlier this year, due to the likely 2023 debt repayment cost forecast. much higher than the expected earnings of the social media platform.
Musk borrowed about $13 billion from the banking group that included $3 billion in unsecured debt and an annual interest rate of 11.75%, Bloomberg reported. The remainder of the debt package includes $6.5 billion in term loans and $3 billion in secured bonds.
Musk, who partially funded the $33.5 billion equity commitment needed to buy Twitter through his personal holdings, has sold 19.5 million Tesla shares since May 4. 11 to 7 November, at prices ranging from $197,196 to $208.731 per share, for a total of 12 trades. raised 3.95 billion USD.
Earlier this summer, Musk sold 7.92 million shares between August 5 and August 9, raising a total of about $6.9 billion, capitalizing on a 47% increase in Tesla stock from the end of May. until August 5, when the first sale is made. He sold another $8.5 billion in April.
Musk told Tesla investors in October that he and his group of investors “clearly overpaid” to the social media team, with total costs pegged at $46.5 billion.
Tesla shares marked 0.71% higher in pre-market trading at $175.28 per share, a move that would still subject the stock to a roughly 50% drop year-to-date. .
According to recent data from S3 Partners, stakes around the consortium are pegged at around $12 billion, according to recent data from S3 Partners, a figure that represents about 2.65% of outstanding shares. Group.
