Apollo Global Management Inc. APO, -1.20% and Sixth Street Partners LLC are not moving ahead with talks to help finance Elon Musk’s $44 billion acquisition of Twitter Inc. TWTR, -3.72%, Reuters reported. Musk replied, “correct” on Twitter when answering queries about whether the two lenders are absent from the $7.1 billion in third-party equity financing package for the deal, the report said. The two lenders stopped talking with Musk over the summer, after he asked Twitter to drop the deal as proposed in April, Reuters said in its report, which was published on Wednesday. Earlier this week, Musk changed course again and decided to move ahead with the acquisition. The banks that initially agreed to provide debt for the deal in the spring could face “significant losses” when they sell the debt due to much less favorable financing conditions currently, Reuters also reported. Major banks including Morgan Stanley MS, -2.17%, Bank of America Corp. BAC, -1.44%, Barclays BARC, -1.91% BCS, -3.83%, Societe Generale S.A. GLE, -0.12%, Mitsubishi UFJ Financial Group Inc 8306, -2.10% MUFG, -1.53%, BNP Paribas SA BNP, -1.09%, and Mizuho Financial Group Inc s[: jp: 8411] MFG, +0.45% have committed $12.5 billion to finance Musk’ acquisition of Twitter.
