The head of Elon Musk’s family office has approached investors who helped the billionaire buy Twitter for $44bn in October to try and raise new funds as the social media company continues to bleed cash and faces heavy interest payments on its debts.
Jared Birchall, a former Morgan Stanley banker, approached Twitter’s shareholders on Thursday afternoon, according to two people familiar with the matter. He offered new shares in the company at $54.20 — the same price Musk paid to take the company private.
His note to investors, first reported by Semafor, said Twitter was “pleased to announce a follow-on equity offering for common shares at the original price and terms”, according to one person who received it.