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Elon Musk Look At New Loans For Twitter

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Bankers for Elon Musk are looking into new margin loans that Tesla would back to reduce Twitter's debt.

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In a deal worth $44 billion, he had taken control of the microblogging platform.

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It was crucial to reduce the $13B debt load that amounts to approximately $1.2B annually in interest costs for the social media company.

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According to reports, Musk's advisors and the Morgan Stanley-led bank group had been discussing ways to reduce the $13 billion Twitter debt.

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Morgan Stanley, Bank of America Corp., Barclays, and Mitsubishi UFJ Financial Group funded the Musk $13 billion bid.

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Bloomberg reported that the banks would only be expected to transfer the Twitter debt to institutional investors after the new year.

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Due to uncertainty over Twitter's future and losses, banks abandoned plans to sell their debt to investors in October.

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