this post was submitted on 18 Jul 2023
95 points (96.1% liked)
RealTesla
478 readers
1 users here now
- Posts must be about Tesla, EV, or AV
- Meta Posts must be pre-approved.
- Shitposts are limited
- No Elon Worship
- All Links must include the original title of the Content
- Sites behind Paywalls must have text included.
- Don't be an asshole
- No Image Posts
founded 1 year ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
Suing a lawfirm for 90 mill after ~~losing~~ spending 44 billions doesn't seem like a good idea, but I'm not the genius so what do I know.
Neither is Musk
$13 Billion of new loans - $2 Billion of old loans + $33 Billion Elon Musk paid == $44 Billion deal.
Even then, the $33 Billion Elon paid for includes equity gathered from Saudi, Larry Ellison and other friends of Elon. Elon probably fronted only $24 Billion of his own money, with $9 Billion coming from others IIRC (though this is all estimated, as this side of the deal was behind closed doors).
In many ways, this makes it worse. The $33 Billion of equity is junior to the $13 Billion of debt owed to the banks. That means that if Fidelity's valuation of $20 Billion is true, then Elon (and friends) have gone from $33 Billion in equity to $7 Billion in equity. Its not perfect because the loan's value has also declined ($13 Billion may be owed, but everyone's getting nervous about Twitter's ability to pay it back). I think the $13 Billion loan is only worth $9 Billion now, or so? So maybe the Elon+co have a proper valuation of $11 Billion or so.
Its all made up numbers anyway so maybe my rant doesn't matter. But all in all, the $44 Billion number is a bit too shallow thinking for my tastes.
“What’s that smell up in here?!? Is that sarcasm?!? Cause it suuuure smells like sarcasm!”