The Conservative Cave

Current Events => The DUmpster => Topic started by: CC27 on December 01, 2022, 11:42:39 AM

Title: A question about Musk and Twitter in particular and business debt in general
Post by: CC27 on December 01, 2022, 11:42:39 AM
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dsc (51,470 posts)


A question about Musk and Twitter in particular and business debt in general

I have heard commentators posit that Musk is purposely trying to make Twitter crater in value so that he can buy up his own debt the value of which would also supposedly fall. That is where I am lost. I owe about 200k on my house, I fail to see how having my house drop in value to 50k makes me able to buy my mortgage for a lesser amount. What am I missing?

https://www.democraticunderground.com/100217424090

You owe 200K on your house? What a moron you are. Must be a government backed loan because they know you will not pay.  :whatever:
Title: Re: A question about Musk and Twitter in particular and business debt in general
Post by: SVPete on December 01, 2022, 11:56:19 AM
With Twitter usage growing in the US and having a truce with Apple, I think the Prog Commentariat[i/] has a problem with their premise that Twitter is "cratering". As with Prog boycotts of Wendy's, CfA, Hobby Lobby, and My Pillow, I don't think Twitter is going to crash and burn as Progs hope will happen.
Title: Re: A question about Musk and Twitter in particular and business debt in general
Post by: RuralNc on December 01, 2022, 12:21:03 PM
Ok lurking Morons, im going to help you out.

In the case put forth, because Musk leveraged his own wealth, there is no advantage.

If on the other hand, lets say Tesla bought Twitter, it works. Because Musk is a person, that is separate from the business entity. The value plummets (of Twitter) and Musk (the person) swoops in to buy up whats left for pennys on the dollar, from his own personal assets.. Thats about the only way it could possibly work.

A whole lot of things could go seriously wrong with such a stunt.

Title: Re: A question about Musk and Twitter in particular and business debt in general
Post by: ADsOutburst on December 01, 2022, 02:20:58 PM
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What am I missing?

That the commentators you listen to are idiots.
Title: Re: A question about Musk and Twitter in particular and business debt in general
Post by: CollectivismMustDie on December 01, 2022, 02:36:21 PM
Every time I see a post like this, and look at the biden economy, I am glad as hell that everything is paid for.