Unfortunately, those lenders just made Telsa amend their ABL (Asset backed loan) such that when the Solar City deal goes through Solar City will need to be firewalled off from Tesla for purposes of borrowing money.
Essentially the lenders have made Tesla agree that Solar city would not be a subsidiary of Telsa for purposes of borrowing on their ABL.
I've never seen this type of provision before and I dont' think Telsa expected it when they initiated the merger.
Solar City had to issue debt for an 18 month term at 6.5%. With today's markets those are almost loan shark terms. I think its telling that with so much cash sloshing around, Musk had to step in and buy so much of the issue.
With Tesla's credit rated in junk bond territory and both Solar City and Tesla needing large chunks of cash in the next year, it looks like Telsa is going to have to tap the equity markets again.
Hopefully the markets continue to believe in Musk. If not I'd expect Musk to be talking to Washington about a government backed loan.
Couple this cash crunch for two of his companies along with the Space X rocket explosion today, I can't imagine the amount of stress Musk is under right now!!