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I’m not an expert in this but as far as I can tell there will never be a margin call. There’s only a margin call if he defaulted on his loans. All the banks wil
by qudat 2y ago
I’m not an expert in this but as far as I can tell there will never be a margin call. There’s only a margin call if he defaulted on his loans. All the banks will do is ask to restructure the loan to compensate for the loss in the collateral.
Further, it’s just $6bn which musk can easily cover.
> The funding included $7 billion of senior secured bank loans; $6 billion in subordinated debt; $6.25 billion in bank loans to Musk personally, secured by $62.5 billion of his Tesla stock; $20 billion in cash equity from Musk, to be provided by sales of Tesla stock and other assets; and $7.1 billion in equity from 19 independent investors.
https://en.wikipedia.org/wiki/Acquisition_of_Twitter_by_Elon_Musk https://en.wikipedia.org/wiki/Acquisition_of_Twitter_by_Elon...