Tesla Margin-Loan Talks Show Pressure Mounting on Musk, Bankers

Elon Musk’s bankers are considering replacing some of the high-interest debt he layered on Twitter Inc. with new margin loans backed by Tesla Inc. stock that he’d be personally responsible for re-paying, according to people with knowledge of the matter.

The margin loans are one of several options the Morgan Stanley-led bank group and Musk’s advisers have discussed to soften the burden of the $13 billion of debt that Musk used to purchase the social media company in October, said the people, who asked not to be identified because the discussions are confidential.

While many details, including how ...