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Old 14th August 2018, 14:58   #16
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Default Re: Tesla likely to go Private

With the current debt of $9.5 billion, going private is a financial blunder. With more debt and that too with increasing interest rates, generating profits would be even more harder.

Also, the new tax law in the US further makes it expensive to carry debt for companies.

The only gain is that Mr. Musk will not have to answer good reasonable questions from the investors and can go on with the twitter heroics without disturbance.

On the flip side, he will be left with less people to blame for missing targets.
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Old 15th August 2018, 10:24   #17
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Default Re: Tesla likely to go Private

Tesla’s board and Elon Musk are each going forward with their own teams to evaluate the yet-to-be-official take-private proposal.

The board created a special committee to evaluate the proposal.

The CEO retained his own counsel and financial advisers:

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Old 16th August 2018, 07:26   #18
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Default Re: Tesla likely to go Private

Tesla's stock tumbles as SEC issues summons to the automaker.

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The basis of the lawsuit and presumably of the SEC probe question is if that would justify claiming that the funding is “secured”.
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Old 21st August 2018, 19:12   #19
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Default Re: Tesla likely to go Private

Tesla could go to Apple for the private deal ?

Quote:
There have been rumors of Tesla and Apple partnering up for years, but now they are intensifying in light of Elon Musk pushing to take Tesla private.

Ross Gerber activist Tesla investor is even now calling for Apple to take a stake in Tesla as part of the ongoing discussions for a take-private deal.
Quote:
Tesla CEO Elon Musk believes that Saudi Arabia’s sovereign wealth fund could single-handily provide the money for a take-private deal, but he did say that he would prefer for Tesla to maintain a diverse investor base in a take-private deal.

Therefore, he has been looking for other investors to get involved in the deal.
Source:
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Old 24th August 2018, 20:24   #20
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Default Re: Tesla likely to go Private

Musk seeks Morgan Stanley's help for ‘going private’ .

Tesla boss Elon Musk has formally hired Morgan Stanley to assist him in his effort to take the automaker private.

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Morgan Stanley is advising Musk, not the company, its board or a special board committee formed to to evaluate a potential take-private proposal,
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Old 25th August 2018, 10:19   #21
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Default Re: Tesla likely to go Private

Plan shelved. This could perhaps be the first time Musk has had to do something against his will.

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Tesla Inc. CEO Elon Musk says investors have convinced him that he shouldn't take the company private, so the firm will remain on the public stock markets. Musk posted on Twitter earlier this month that he had the funding to take the company private at $420 a share.
https://www.cbsnews.com/news/elon-mu...ay-2018-08-24/
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Old 25th August 2018, 11:47   #22
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Default Re: Tesla likely to go Private

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Originally Posted by libranof1987 View Post
Plan shelved. This could perhaps be the first time Musk has had to do something against his will.

https://www.cbsnews.com/news/elon-mu...ay-2018-08-24/
And the whole reasoning for staying Public - Elon Musk


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Old 27th August 2018, 19:50   #23
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Default Re: Tesla likely to go Private

Tesla’s (TSLA) stock price dropped as much as 5% in pre-market trading after Tesla decides to stay public. Volkswagen is speculated to have tried to invest.

Quote:
According to sources involved in the take-private deal who talked to the Wall Street Journal, banks and advisors put a deal together that involved Volkswagen and Silver Lake:
Musk reportedly didn’t like the deal as he believed it would give Volkswagen too much influence over Tesla.


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Old 27th August 2018, 20:05   #24
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Default Re: Tesla likely to go Private

This is a face saving way for Musk to reduce the risk of severe sanctions from the SEC - for having gun jumped by announcing a deal and claiming he had firm financing when he clearly did not have the same. Becomes difficult to prove the counterfactual now - and gives the SEC a way to avoid barring one of America’s most dynamic entrepreneurs from his company. Hope he gets off Twitter now.
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Old 27th August 2018, 20:58   #25
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Default Re: Tesla likely to go Private

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Originally Posted by Hayek View Post
This is a face saving way for Musk to reduce the risk of severe sanctions from the SEC - for having gun jumped by announcing a deal and claiming he had firm financing when he clearly did not have the same.
I think he is still not off the hook from the SEC. His Twitter announcement gave a big bump to the stock and caused a lot of Tesla short sellers to lose huge amounts of money. This can be seen as trying to influence the stock market as the announcement talked about having the funding secured and was not made through the proper channels.
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Old 6th September 2018, 10:31   #26
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Default Re: Tesla likely to go Private

Tesla faces another slump as Elon Musk tweets on the British caver .

Tesla bond hits record low, stock slips as investor worry deepens.


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Old 7th September 2018, 14:03   #27
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Default Re: Tesla likely to go Private

TESLA short sellers sue the automaker and Elon Musk in class action over take- private tweets.

Short sellers are now suing the company and Musk over what they see as the automaker manipulating the share price with allegedly false statement over the take-private move.

Lawsuit:

Quote:
Following these tweets, Tesla’s stock price surged, reaching an intraday high of $387.46 per share, before closing at $379.57 per share August 7, 2018, a nearly 11 percent jump from the previous closing price. Trading volume spiked to 30 million shares (compared to an average of 8 million), representing over $11 billion of purchases in the open market. In response to the tweets, many Tesla short-sellers were forced to cover their positions at artificially high prices, losing approximately $1.3 billion in a single day, according to media reports.
While the plan is dead, Tesla and Musk are still facing some pretty significant blowback with a SEC probe and now this new class action lawsuit


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Old 28th September 2018, 07:42   #28
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Default Re: Tesla likely to go Private

Doing business in Twitter is not one would call a fun game .

TESLA stock tumbles as SEC seeks removal of Elon Musk!

The securities watchdog is charging the Tesla CEO with fraud following the now infamous August tweets that announced plans to go private again

Quote:
Subsequent Tweets and statements by Tesla’s investor relations group are under scrutiny.

They are accusing Musk of making a series of false and misleading statements.
SEC COMPLAINT
Quote:
Musk made his false and misleading public statements about taking Tesla private using his mobile phone in the middle of the active trading day. He did not discuss the content of the statements with anyone else prior to publishing them to his over 22 million Twitter followers and anyone else with access to the Internet. He also did not inform Nasdaq that he intended to make this public announcement, as Nasdaq rules required

Elon Musk response:

Quote:
This unjustified action by the SEC leaves me deeply saddened and disappointed. I have always taken action in the best interests of truth, transparency and investors. Integrity is the most important value in my life and the facts will show I never compromised this in any way.

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Old 28th September 2018, 19:24   #29
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Default Re: Tesla likely to go Private

Tesla's board backs Elon Musk over SEC wanting to ban him, Tesla’s stock is down 12% before the market opens this morning.

Quote:
Musk says that he wants to fight the complaint. He said that the facts will show that he never “compromised” his integrity.

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Old 28th September 2018, 19:36   #30
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Default Re: Tesla likely to go Private

This makes me wonder what happens to Tesla stock is Elon Mush is ousted.
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