Elon Musk is reportedly willing to spend between $10-15 billion of his own money to take Twitter private, and is planning to launch a tender offer, according to two sources familiar with the matter as quoted by the New York Post.
The bid will be made in about 10 days, the daily reported on Tuesday, adding that the billionaire has tapped Morgan Stanley to raise another $10 billion. Musk, who had previously purchased 9.1% of Twitter’s shares, may also be willing to borrow against his current stake if necessary, a move that could possibly raise several billion additional dollars.
Last week, Musk offered to buy Twitter for $54.20 a share, or about $43 billion, well above the company’s current valuation.
On Friday, the social media company adopted a so-called poison pill strategy to protect itself from a potential hostile takeover. The tactic allows shareholders to buy company stock in the future at a discount, thereby diluting the stake of the entity attempting the takeover.