Musk's lenders prepare to hold $12.7 billion Twitter debt on books until early 2023: Report

The banks wait for Elon Musk to unveil a clearer business plan they can market to investors, as per a report by the Financial Times

November 01, 2022 11:31 am | Updated 11:31 am IST

Elon Musk.

Elon Musk. | Photo Credit: AP

Banks that lent $12.7 billion to Elon Musk for his $44 billion Twitter takeover will hold the debt until early next year as they wait for the billionaire to unveil a clearer business plan they can market to investors, the Financial Times reported.

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The group of lenders, led by Morgan Stanley, Bank of America and Barclays, have conceded they will be stuck holding the debt on their books for months or even longer and will probably end up incurring huge losses on the financing package, according to the report published on Tuesday, citing sources.

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Morgan Stanley, Bank of America and Twitter did not immediately respond to Reuters' request for comment, while Barclays declined to comment.

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