AI Snips
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He Can Afford It — But Not Solo
- Elon Musk can plausibly buy Twitter but lacks the immediate cash and will need partners or debt financing.
- Announcing a $43B bid without secured financing put Twitter effectively on the block and forced other bidders to surface.
Board Power And Defensive Moves Matter
- Twitter's board can reject Musk's offer by saying the price is too low or that he won't run the company well.
- Rejection triggers calls to other potential buyers and could prompt rival bids or defensive moves like a poison pill.
PE Is The Most Likely Financing Partner
- If Musk needs partners, private equity is the natural fit because they can finance a buyout while leaving operational control to him.
- Strategic acquirers like Google face regulatory and product mismatches that make them less likely buyers.