SAN FRANCISCO (USA)
\nElon Musk told banks that agreed to help fund his $44 billion acquisition of Twitter Inc (TWTR.N) that he could crack down on executive and board pay at the social media company in a push to slash costs, and would develop new ways to monetize tweets, three people familiar with the matter said, according to Reuters News Agency.
\nMusk made the pitch to the lenders as he tried to secure debt for the buyout days after submitting his offer to Twitter on April 14, the sources said. His submission of bank commitments on April 21 were key to Twitter\u2019s board accepting his \u201cbest and final\u201d offer.
\nMusk had to convince the banks that Twitter produced enough cash flow to service the debt he sought. In the end, he clinched $13 billion in loans secured against Twitter and a $12.5 billion margin loan tied to his Tesla (TSLA.O) stock. He agreed to pay for the remainder of the consideration with his own cash.
\nMusk\u2019s pitch to the banks constituted his vision rather than firm commitments, the sources said, and the exact cost cuts he will pursue once he owns Twitter remain unclear. The plan he outlined to banks was thin on detail, the sources added.
\nMusk has tweeted about eliminating the salaries of Twitter\u2019s board directors, which he said could result in about $3 million in cost savings. Twitter\u2019s stock-based compensation for the 12 months ending Dec. 31, 2021 was $630 million, a 33% increase from 2020, corporate filings show.<\/p>\n","protected":false},"excerpt":{"rendered":"
SAN FRANCISCO (USA) Elon Musk told banks that agreed to help fund his $44 billion acquisition of Twitter Inc (TWTR.N) that he could crack down on executive and board pay at the social media company in a push to slash costs, and would develop new ways to monetize tweets, three people familiar with the matter […]<\/p>\n","protected":false},"author":2,"featured_media":258233,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[1069,6675,918],"class_list":{"0":"post-258206","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world","8":"tag-banks","9":"tag-elon-musk","10":"tag-twitter"},"yoast_head":"\n