Twitter and Elon Musk’s financial advisors could lose big bucks after the eccentric entrepreneur walked away from the $44bn mega deal.
According to an earlier regulatory filing, the social media firm’s financial advisors Goldman Sachs and JP Morgan Chase could have nabbed fees totalling to $133m, while Refinitiv suggested that Morgan Stanley and the other City big dogs stood to make as much as $55m from advising Musk.
Last week the world’s richest man announced that he would abandon the agreement, citing the Silicon Valley’s firm lack of clarity over spam and bot accounts.
Despite Twitter plunging further below Musk’s $54.20 bid this week, Twitter filed a lawsuit in Delaware, with chairman Bret Taylor stating on Twitter that he wanted to “hold Elon Musk accountable to his contractual obligations”.
The original merger agreement included a $1bn break fee from the contract.
JP Morgan declined to comment, while Morgan Stanley and Goldman Sachs were not immediately available for comment.