3 ms·
I don't recall the full details. But I think it was roughly 50% effectively fixed (in April 2022) and 50% effectively adjustable. Thus: the estimate for ~10% f
by dragontamer 4y ago
I don't recall the full details. But I think it was roughly 50% effectively fixed (in April 2022) and 50% effectively adjustable.
Thus: the estimate for ~10% for the overall debt deal. The fixed-portion of the debt is already hilarious to look at, IIRC Morgan Stanley expected 11% yields for the CCC tranche, but are now looking at 16%+. Morgan Stanley's losses are already in the hundreds-of-millions.
- dpflan 4y agoThank you, interesting details on MS. Some of the classic "yield farming"...Twitter deal as the black box this time.
- dragontamer 4y agohttps://archive.ph/PMvWz https://archive.ph/PMvWz Here's an archived Bloomberg quick-take back when the debt was financed last April. Here's some commentary on the subject: * https://fortune.com/2022/10/05/elon-musk-flipflop-twitter-banks-backing-him-morgan-stanley-buyout-debt/ https://fortune.com/2022/10/05/elon-musk-flipflop-twitter-ba... * https://www.axios.com/pro/media-deals/2022/10/05/musk-twitter-deal-banks-debt https://www.axios.com/pro/media-deals/2022/10/05/musk-twitte...