Wall Street hopes to get rid of a bad Elon Musk bet.

Wall Street banks are hoping this is the week when they can start to recover more from the bad bets they made on Elon Musk’s Twitter buyout.

Morgan Stanley (MS) and Bank of America (BAC) are among the banks that plan to sound out investors in the coming days to buy portions of debt initially provided to Musk in 2022 to take over the social media platform now known as X, according to people familiar with the matter.

Big banks fronted $13 billion in financing when Musk bought Twitter in October 2022 for $44 billion. But those loans lost value as the X struggled, and the banks weren’t able to get them off their books without taking significant losses.

Source: FINANCE.YAHOO