Mirae Asset Said to Be in Talks to Fund Elon Musk’s Twitter Buyout

South Korea’s Mirae Asset Financial Group is planning to commit about $208 million (roughly Rs. 1,721 crore) to assist finance Elon Musk’s $44 billion (roughly Rs. 3,37,465 crore) buyout of Twitter, an individual accustomed to the matter instructed Reuters on Monday.

The cope with Mirae is predicted to be finalised within the coming days earlier than the deadline for the closing of the Twitter deal on October 28, the supply added.

Mirae Asset earlier this yr invested in Musk’s rocket and satellite tv for pc firm SpaceX, the individual stated.

Musk’s lawyer was not instantly accessible for remark.

Mirae Asset declined to remark.

The Korea Economic Daily earlier reported Mirae Asset’s funding plan for Twitter.

“Mirae Asset is creating a KRW 300 billion (roughly Rs. 1,731 crore) fund to support Musk’s takeover of Twitter, according the to investment banking industry. The structure (of the fund) is to jointly acquire a stake in Twitter with Musk,” the newspaper reported

Analysts say Musk wants to draw extra fairness traders to finance the Twitter buy and keep away from additional gross sales of his inventory in electrical automobile maker Tesla.

Earlier this month, a Delaware decide gave Musk till October 28 to shut his takeover of the social media platform.

Tesla traders have feared the billionaire may promote extra Tesla inventory to finance the deal, weighing on its shares.

Meanwhile, the banks offering $13 billion (roughly Rs. 1,07,300 crore) in financing for Tesla CEO Elon Musk’s acquisition of Twitter have deserted plans to promote the debt to traders due to uncertainty across the social media firm’s fortunes and losses, individuals accustomed to the matter instructed Reuters.

The banks should not planning to syndicate the debt as is typical with such acquisitions, and are as a substitute planning to maintain it on their stability sheets till there may be extra investor urge for food, the sources stated.

© Thomson Reuters 2022