HomeNewsApollo Global Management is open to financing a Twitter buyout, sources reveal

Apollo Global Management is open to financing a Twitter buyout, sources reveal

Hassan Maishera

Elon Musk had offered to acquire Twitter in a deal worth roughly $43 billion.

Private equity firm Apollo Global Management is currently in talks to finance a possible buyout of social media company Twitter. 

According to CNBC, which cited anonymous sources, the private equity firm has no interest in acquiring the social media giant. However, it is open to financing Elon Musk or other potential buyers of Twitter.

The sources revealed that any financing Apollo provides would likely come in the form of preferred equity.

Tesla and SpaceX CEO Elon Musk submitted a bid of $43 billion to acquire Twitter last week. Musk is currently the single largest shareholder in Twitter and has stated that he would dump his shares if the board rejected his offers.

However, recent reports indicate that the Twitter board will likely reject Musk’s buyout offer. Musk’s recent tweet suggests that he may make a tender offer to buy shares directly from Twitter shareholders.

Elon Musk revealed his 9% control of Twitter a few weeks ago. Within the space of a few days, the world’s richest person submitted a bid to acquire the social media company.

On Friday, Twitter adopted a plan often referred to as the Poison Pill to stop individuals, entities and groups from making similar moves like Musk. Twitter explained that;

“The Poison Pill will reduce the likelihood that any entity, person or group gains control of Twitter through open market accumulation without paying all shareholders an appropriate control premium or without providing the Board sufficient time to make informed judgments and take actions that are in the best interests of shareholders.”

Elon Musk has declared his intention to take Twitter private if he acquires the social media company. According to Musk, Twitter is not living up to its potential, adding that there is so much more for the company to offer.