On Jan 24, Reuters reported that Wall Street banks are gearing up to offload a significant portion of debt holdings related to the social media platform X, as per sources familiar with the situation cited by the Wall Street Journal.
Morgan Stanley bankers have reached out to investors in anticipation of a planned debt sale next week valued at up to $3 billion. This debt was originally provided by lenders such as Bank of America and Barclays to Elon Musk to facilitate his acquisition of the business previously known as Twitter.
According to the report, the banks aim to sell senior debt at a discounted rate of 90 to 95 cents on the dollar while holding on to more junior holdings.
At the time of reporting, Morgan Stanley had not responded to a request for comment from Reuters.