(Reuters) -Morgan Stanley has launched a sale of the last $1.23 billion worth of debt tied to Elon Musk’s $44 billion buyout of social media platform Twitter, now called X, Bloomberg News reported on Thursday, citing a person familiar with the matter.
Musk’s close relationship to President Donald Trump and prospects of improving revenue of X have allowed banks to offload almost all of the $13 billion they had been holding on their books for nearly two years.
The fixed-rate loan is being offered at an interest rate of 9.5% and a discounted price of 97.5 to 98 cents on the dollar, Bloomberg News reported. Commitments on the deal are slated for April 28, the report said.
Morgan Stanley and X did not immediately respond to Reuters requests for comment.
The X acquisition was funded by a $6.5 billion secured term loan, a $500 million revolving credit facility, $3 billion unsecured loan and $3 billion of secured loans.
(Reporting by Arasu Kannagi Basil in Bengaluru; Editing by Saumyadeb Chakrabarty)
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