Musk's Twitter Deal Becomes Banks' Biggest Loss

Author

Noel Moldvai
August 22, 2024

Good afternoon! It turns out Elon’s Twitter (now X) deal wasn’t the best for banks... along with an unfortunate outcome in Sicily. Enjoy this week's edition of The Pulse.

TL;DR

  • Elon Musk’s Twitter Takeover Is Now the Worst Buyout for Banks Since the Financial Crisis

  • Dropbox acquires Index Ventures-backed AI scheduling tool Reclaim.ai

  • Body of Mike Lynch Among Five Pulled From Wrecked Yacht

  • Bolt Looking To Raise $450M As Breslow Returns

Twitter Takeover is Now the Worst Buyout for Banks

Elon Musk's $13 billion Twitter buyout has become the worst merger-finance deal for banks since the 2008-09 financial crisis. Banks, including Morgan Stanley, can't offload the debt due to Twitter's poor performance, leading to significant losses. The deal's underperformance has damaged bank profits, rankings, and compensation.

Dropbox acquires Index Ventures-backed AI scheduling tool

Dropbox has acquired AI-powered scheduling tool Reclaim.ai, backed by Index Ventures and Calendly. Founded in 2019, Reclaim.ai will continue product development under Dropbox, with no immediate changes to pricing. The tool, used by over 320,000 people, integrates with Google Calendar and plans to support Outlook soon. All 22 Reclaim.ai employees are joining Dropbox.

Body of Mike Lynch Among Five Pulled From Wrecked Yacht

Mike Lynch, a British tech tycoon, was confirmed dead after his yacht sank off Sicily. His body was among five recovered, with his daughter's still missing. The group was celebrating Lynch’s acquittal on U.S. fraud charges. The yacht’s sinking is under investigation, with a partially open stern hatch and a possible snapped mast as factors.

Bolt Looking To Raise $450M As Breslow Returns

Bolt founder Ryan Breslow returns as CEO and is raising $450 million at a $14 billion valuation, a significant turnaround from an earlier $300 million valuation. Bolt, once valued at $11 billion in 2021, faced lawsuits, layoffs, and leadership changes. The new funding terms could stir conflict among previous investors, potentially leading to further infighting.

More News and Links

Until next week!

Cheerio,
-Noel