With Tesla CEO Elon Musk seemingly prepared to go through with his proposed deal to purchase Twitter, Binance and popular tech investor Sequoia Capital are reportedly ready to back Musk in the takeover.
Binance to Invest in Musk’s Twitter Deal
One month after Musk’s original offer to buy Twitter was disclosed on April 14th, Binance announced its intention to commit $500 million to the deal. However, Musk ultimately pulled out of the deal in July, citing Twitter’s provision of “false and misleading representations.”
A shocking filing on October 4th revealed that Elon Musk has taken a u-turn on his decision, and the world’s richest man now seems on track to go through with the deal for the micro-blogging platform. A Binance spokesperson has since confirmed that the exchange still intends to back the deal.
In addition, the spokesperson suggested that the exchange could even contribute the same amount to the deal. It was recently reported that Sam Bankman-Fried, the CEO of FTX, has also been in contact with Musk in order to offer his participation in the deal as a financer.
Sequoia Capital to Commit $800 Million
American venture capital firm Sequoia Capital, which has a history of backing Elon Musk’s endeavours, and had been willing to contribute $800 million to the initial Twitter deal, also plans to keep its funding in place.
If Musk agrees to acquire Twitter for the previously agreed $54.20 per share, the deal could be valued at as much as $44 billion.
On the Flipside
- The Twitter takeover deal reportedly stalled due to an issue with receiving $13 billion in debt financing. As of this writing, it is unknown if the issue has been resolved.
Why You Should Care
Elon Musk’s pro-crypto stance and plans for Twitter have seen the deal attract a great deal of speculation throughout the crypto market.
Read about Musk’s potential crypto plans for Twitter in:
Elon Musk Reveals His Crypto Plans for Twitter at a Meeting with Employees
Musk pulled out of the deal once before. Find out more:
SEC Asks Elon Musk to Clarify Tweet About Quitting Twitter Acquisition