Elon Musk's attempts to secure new financing to reduce his cash contribution to the $44 billion Twitter acquisition have been paused due to ongoing uncertainty surrounding the deal, according to sources familiar with the matter.
Musk has threatened to abandon the purchase unless Twitter provides data supporting its claim that spam accounts represent less than five percent of its user base. His lawyers sent a letter to Twitter on Monday warning he may walk away without further information.
Musk is committed to paying $33.5 billion in cash for the deal, with the remainder covered by debt financing. His liquidity is constrained as his wealth, estimated by Forbes at $218 billion, is primarily tied to Tesla shares.
If the deal collapses, Musk faces a $1 billion termination fee. Twitter's stock closed up 1.44 percent on Tuesday amid reports of Musk's financing struggles.
