Who are the big winners in Musk's Twitter deal? Merger arbitrage traders

Elon Musk’s decision to revive his $44 billion buyout of Twitter Inc. is shockingly good news for merger investors who continued to bet on the deal closing through months of uncertainty.

After Musk and Twitter agreed to proceed with the deal at the original offer price at $54.20 a share on Tuesday, the social media company’s stock rallied as much as 23%, pushing the spread to its narrowest level since the pair entered a merger pact back in April. 

Tuesday was a “great day for arbs,” said Julian Klymochko, chief executive officer of Accelerate Financial Technologies. The saga closing in