How did Elon Musk fund $44B Twitter buyout? Sean Combs pumped in $10M to help Tesla CEO, claims report
SAN FRANCISCO, CALIFORNIA: Elon Musk, the new CEO of Twitter, reportedly had loads of help funding his massive buyout of the microblogging website Twitter. Reports say that even rapper Sean 'Diddy' Combs wanted a "seat at this table" and so he is believed to have pumped in $10 million into this deal. Helping the world's richest man take over the social media platform for a whopping $44 billion were also a host of financial institutions.
The tech mogul's massive buyout of the social media giant also included other wealthy investors and loans from Wall Street banks that reportedly helped him crack the deal. Some of those investors reportedly include Sequoia Capital, Binance, Qatar Holdings, Twitter co-founder Jack Dorsey and Saudi Arabian Prince Alwaleed bin Talal. Morgan Stanley alone has contributed nearly $3.5 billion to the acquisition, reported CNBC. Canadian investment firm Brookfield has reportedly committed $250 million towards Musk’s Twitter acquisition.
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Why did Diddy help Elon Musk buy Twitter?
The Hip-Hop legend reportedly invested $10 million into Musk's takeover. Sources say that Diddy's investment comes from the fact that he 'believes' in Musk's vision for the microblogging platform, according to TMZ. The rapper who is also known by his stage name Puff Daddy, recently ascended to billionaire status, making him one of the wealthiest artists in the music industry, reported by Forbes, according to Daily Mail.
The music legend and fashion mogul's 8-figure investment revolves around the strategy of allegedly having a "seat at the table" giving him a reason to help Musk with his billion-dollar deal. It's reportedly known that the pair hang out in similar circles. Diddy and Musk both attended one of Dave Chappelle's shows in May and were seen seated in the front row. Kanye West's Donda 2 experience also noted the rapper and the Tesla owner's appearance in February. Initially, Musk had planned to limit his investment in the $44 billion Twitter deal to just over $15 billion.
He even planned to sell his stake in electric vehicle maker Tesla Inc to get loans of around $12.5 billion to avoid selling his shares, reported CNBC. However, Musk ditched the idea and later sold around $15.5 billion worth of shares in Tesla in April and August. Sources also reported he is expected to personally pay the transaction a little over $27 billion in cash. The Twitter CEO has already made his presence known in his takeover after he reportedly fired hoards of staff across the globe and reinstated accounts that were previously suspended on the platform.