“Today’s new third-party equity commitments – totaling $9bn, including Price Alwaleed’s almost $1.9bn equity rollover – brings Elon’s total commitments down from $33.5bn to as low as $24.6bn. “Elon has been chipping away at his financial commitments, both straight equity and via personal margin loans, since the deal was announced,” said Drew Pascarella, a senior lecturer of finance at Cornell University in the US. Including the margin loan, Musk has now reduced his total financial commitment by almost $9bn. The $7.1bn equity raising, plus the agreement with Prince Alwaleed, means Musk’s personal contribution to the equity element of the deal could be less than $20bn, according to one expert. ![]() ![]() A member of the Tesla board, he was one of the few top technology executives to openly support the presidency of Donald Trump and reportedly hosted a fundraiser for the politician in 2020 at his California estate. Ellison, who is worth about $95bn, made his fortune as the founder of the database-software business Oracle. Ives added that the report Musk planed to run Twitter himself appeared to be weighing on Tesla’s stock despite the funding news, with the shares in the carmaker falling 7% to $884.56 in afternoon trading.Īccording to the filing with the US Securities and Exchange Commission, Ellison is putting $1bn into the transaction. “In this game of high stakes poker the impressive list of backers will remove more of an overhang from Tesla shares as the Musk leverage of shares now becomes less onerous,” said Dan Ives, an analyst at Wedbush Securities, a US financial services firm. 2005 - Game Trust - founded by Adeo Ressi, Musk’s roommate from the University of Pennsylvania. However, the filing published on Thursday also revealed a margin loan taken out by Musk to finance the deal – secured against his 15.7% stake in Tesla – would be reduced from $12.5bn to $6.25bn. In total I see nine distinct angel investments made by Musk and his personal connections to the businesses are shown below: 2003 - Everdream - founded by Musk’s cousin, Lyndon Rive. Musk’s financing plans for the Twitter deal have put pressure on shares in Tesla, the electric car company in which he is the largest shareholder, amid concerns he would sell stock to finance the agreed bid. ![]() The Saudi Arabian investor Prince Alwaleed bin Talal, who had initially opposed the buyout, also agreed to roll his $1.9bn stake into the deal rather than cashing out, according to a filing with the US financial watchdog.
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