Banks that financed the purchase of the social network in 2022 are trying to get rid of part of the debt
Elon Musk admitted, in an email sent to the team in January 2025, that X (formerly Twitter) is facing stagnant user growth and low revenue. The message, obtained by , reveals that the company operates close to the financial break-even point.
“User growth is stagnant, revenue is unimpressive and we are barely breaking even”wrote Musk. He defended, however, the influence of the platform. “Over the past few months, we have witnessed the power of X to shape national conversations and outcomes.”he stated.
According to the newspaper, the banks that financed the purchase of the social network in 2022 are trying to get rid of part of the debt. Morgan Stanley, Bank of America and Barclays, which loaned $13 billion for the $44 billion acquisition, plan to trade the shares at between 90 and 95 cents on the dollar.
Morgan Stanley has started contacts with investors for a sale scheduled for next week, which could reach $3 billion in debt. Recently, financial institutions have already negotiated around 1 billion dollars in private transactions.
To complete sales, banks need to convince investors about the company’s financial stabilization. According to the Wall Street Journal, Musk’s recent rapprochement with President Trump contributed to changing the perception about X’s prospects.
Investors have approached banks with an interest in buying the company’s debt, a source told the American newspaper. The group believes in a trajectory of financial recovery for X.
