$12.5B of the $46.5B Twitter purchase is being financed by a loan against Elon's Tesla shares. His interest rate is SOFR + 3% on the loan (comes out to ~4% annually currently). So he has to pay $500 million per year in *cash* as interest just to keep his loan. There's also an additional $13B in bank loans (these will be on Twitter's balance sheet not Elon's) at a roughly 5.5% interest rate. Ballpark $700 - $800 mill.

Keep in mind Twitter is cash flow negative before debt (they have huge infrastructure expenses). This is an LBO (leveraged buyout) btw.. I'm guessing Elon will help run/fix Twitter up for 3-5 years then IPO . Remaining $21B in cash probably coming from Elon + friends.

If he backs out he has to pay over $1 billion as a breakup fee.