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Won't happen. $44B total. $14B in debt. Twitter worth under $10B, probably between $0-5B. Creditors get paid first. Elon's money is gone forever. The hole is to
by Zigurd 4y ago
Won't happen. $44B total. $14B in debt. Twitter worth under $10B, probably between $0-5B. Creditors get paid first. Elon's money is gone forever. The hole is too deep.
The likeliest outcome is Elon hands it to the banks and says "Oops. Uh... good luck?"
- morelisp 4y agoIf I was Parag I'd already be putting my new pitch and executive team together for when the banks call.
- s1artibartfast 4y ago44 billion isn't that crazy. Twitter needs to make 2B/year to have a p/e of 20. Twitter revenue was ~5B for the year before takeover. If Elon can keep costs <3 billion and bring back the add revenue, that would work. Firing 80% of workers goes a long way to cutting costs. Alternatively, if he can somehow grow revenue, that would be another solution.
- Zigurd 4y agoHe is on a rocket sled in the wrong direction for revenue. That's part of the hole, not part of a ladder.
- s1artibartfast 4y agoI don't disagree with the direction of revenue or the size of the hole. I just don't think it is impossible to get the revenue back.