Twitter shares have been under pressure ever since Elon Musk's Twitter deal was put on hold over the issue of spam accounts.
Billionaire entrepreneur Elon Musk has submitted a revised plan to the Securities and Exchange Commission to finish the Twitter takeover deal. The deal was put on hold for sometime. This move by Elon Musk has send positives vibes in the market with shares of Twitter seeing a jump of 3.9% on Wednesday.
Twitter shares have been under pressure ever since Elon Musk's Twitter deal was put on hold over the issue of spam accounts. Elon Musk says that during the deal he was told that Twitter's spam accounts is 5% of the total accounts, while in reality this number is closer to 20%. The deal got stuck on this issue.
Read | Twitter investors reject re-election of Elon Musk ally to board
Revised plan
Elon Musk's revised plan to complete the deal shows that the Tesla CEO and the world's richest man is serious about buying Twitter. According to the information that Musk has given to the regulator about the change in Twitter's financing plan, now Musk will take less loan from banks to repay the money of Twitter's deal. It is being speculated that now he will take USD 6.25 billion less loan.
How he will raise money?
Elon Musk can raise this amount by allotting some shares of Twitter to other investors. This will increase the equity stake in the deal to USD 33.5 billion. In the financial plan that Elon Musk presented three weeks ago for the Twitter deal, the equity stake in the deal was USD 27.25 billion.
The plan submitted by the Tesla CEO to the Securities and Exchange Commission (SEC) does not specify how he will raise more money through the allotment of additional shares.
Talking to Jack Dorsey
Elon Musk is convincing his friend and former Twitter CEO Jack Dorsey to buy Twitter shares. Dorsey is the co-founder of Twitter. He currently has a 2.4% stake in Twitter, which is worth about USD 700 million. Currently, Elon Musk has a 9.6% stake in Twitter, which is worth USD 2.7 billion.
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 "Elon Musk hands over revised plan to complete Twitter deal")
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