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Isn't the difference here that Musk has a tremendous amount of assets in the form of Tesla stock that can be used to repay the debt? It's not like he can declare bankruptcy and stiff them on the bill.
I'm guessing here, I don't think Musk, the person, took out the loans, I think xitter did. So if xitter defaults, Musk's assets aren't on the line.
Edit for clarity: 'leveraged buyout with debt reassignment post acquisition'
Xitter may have taken in more loans after Elon's take over. But a company can't borrow money to buy itself. So yea his assets are very much on the line. I wonder what deal he struck with the Saudi lenders.
'he only used some of his cash to buy Twitter for $44 billion. For the rest of it, he used a tactic called a leveraged buyout and spent $13 billion of borrowed money on the acquisition. And now Twitter—not Elon—is on the hook for that loan.'
Pretty sure they can. It's how a lot of private equity firms finance their purchases. Also the reason that Toys R Us went under. They were doing fine except the massive loan payments they had to pay. Those loans financed the companies' buyout.