According to a securities filing Thursday, Elon Musk secured $7.1 billion for his Twitter acquisition from investors including Oracle founder Larry Ellison and Saudi Prince Alwaleed bin Talal.
Musk, CEO of Tesla and SpaceX, named 18 investors who committed to cash contributions totaling $1 billion, including Ellison ($1 billion), Sequoia Capital ($800 million), and Vy Capital ($700 million).
The Saudi prince agreed to provide about 35 million Twitter shares worth $1.9 billion in order to keep a stake in the firm after the purchase.
Alwaleed had criticized Musk’s $54.20 per share bid as being too low, but applauded Musk on Thursday, stating, “I look forward to rolling our $1.9 billion into the ‘new’ @Twitter and joining you on this exciting journey.”
The filing says that the investments would lower a $12.5 billion margin loan structured by Morgan Stanley and other banks to $6.25 billion.
With the new funding, Musk’s Tesla shares will be used as security for the margin loan less often.
Musk “may receive additional finance commitments to fund other sections of the total Merger Consideration,” the filing said, adding that Musk is in talks with former Twitter CEO Jack Dorsey and others about contributing shares to retain an ownership holding.
The acquisition of Twitter is likely to conclude in late 2022.
Musk is anticipated to remain as interim CEO of Twitter for a few months after the conclusion of the transaction, CNBC said, citing anonymous sources.