Twitter Drifts Away From Musk's Offer as Financing Concerns Loom

Twitter Inc. shares are set to extend losses for a third session on Friday.

Twitter Inc. shares are set to extend losses for a third session on Friday, widening the gap between Elon Musk’s $54.20 per share offer.  (AFP)

Twitter Inc. shares are set to extend losses for a third session on Friday, widening the gap between Elon Musk's $54.20 per share offer as the deal talks are said to be stuck over a debt financing contingency.

Shares in the social media firm which closed Thursday at $49.39, slipped as much as 1.9% in premarket trading as concerns surrounding the transaction's funding persist. Those uncertainties have kept Twitter's stock about 10% below the offer price.

The stock is set to slip for a third day after soaring on Tuesday when Musk made a surprising U-turn from his effort to back out of the deal, potentially avoiding a contentious courtroom fight.

On Oct. 3 the Tesla chief executive officer said his offer is contingent on receiving $13 billion in debt financing. Then on Thursday, Bloomberg reported talks to reach a deal resolution are stalled, in part, on the new contingency, according to people familiar with the matter. \

On the same day, a Delaware judge halted a court case against Musk over his takeover of Twitter, giving the parties more time to complete the deal.