Elon Musk has secured about $7.1 billion of new financing commitments, including from billionaire Larry Ellison, a Saudi Prince, and Sequoia Capital, to help fund his proposed $44 billion takeover of Twitter Inc.
The equity commitments from 19 investors come as the Tesla Inc. billionaire marshals capital to bankroll one of the biggest tech industry takeovers. Musk had originally said he planned to fund the deal in part with a $12.5 billion loan against his shares in Tesla, the electric-vehicle company he runs. The new funding will allow him to reduce by half the size of that margin loan to $6.25 billion, making the deal less risky for both Musk and his lenders. It also slightly reduces the amount of cash Musk needs to put up personally.