The $44 billion that Elon Musk paid to acquire Twitter was primarily viewed as an overleveraged investment.
An overleveraged purchase occurs when a person or company incurs a high degree of debt in relation to the worth of an asset they have acquired through borrowing.
If the asset's worth doesn't rise or if the business can't make enough money off of it, the loan payments may become too much to handle.
Overleveraged purchases can be a major contributor to financial stress and even bankruptcy.
Here, Twitter is the asset, and if it doesn't...