Doubts grow over Elon Musk’s master plan to take Tesla private

Flags fly over the Tesla Inc. Gigafactory 2 which is also known as RiverBend a joint venture with Panasonic to produce solar panels and roof tiles in Buffalo New York

Tesla board mulls de-listing plan

Tesla shares sank slightly in trading Wednesday as some Wall Street firms expressed skepticism about CEO Elon Musk's push to take the electric auto maker private. In its statement, the board said the company's chief executive had "addressed the funding for this to occur".

It seems to have gotten the better of the billionaire who has tweeted that he's considering taking the company private.

Mr Musk had "opened a discussion with the board" last week, the six directors said.

Musk tweeted on Tuesday that he was considering taking Tesla private at $420 a share and had secured the funding.

Dubosc débarque en Patrick Chirac au mariage du réalisateur de Camping
Et aussi parce que son ami Franck Dubosc a fait une apparition, mais pas n'importe laquelle. C'est le personnage phare des films Camping .

Musk, his brother Kimbal and director Steve Jurvetson were not included in the statement from members Brad Buss, Robyn Denholm, Ira Ehrenpreis, Antonio Gracias, Linda Johnson Rice, and James Murdoch.

Tesla shares fell as much as 3.4 per cent to US$366.52 before the start of regular trading, though they pared declines after the board statement.

At a price of $420 per share, the buyout would value Tesla's equity at about $71 billion.

The oil-rich kingdom of Saudi Arabia's investment fund has gobbled up a multibillion-dollar stake in the company in recent months, the Financial Times reported Tuesday, but Tesla has not answered questions about the involvement of the kingdom, or anyone else, in how he would finance the company's exit from public markets.

HGTV is the winning bidder on 'The Brady Bunch' house
The network, which specialises in home improvement and gardening shows, will "restore the home to its 1970s glory", Discovery said.

China's Tencent Holdings Ltd, which took a 5 percent stake in Tesla past year, could also be a possible partner.

Tesla and Musk haven't commented about the reported SEC investigation, but earlier today the company did release additional information about the possibility of going private. In short, Musk believes going private can place the focus back on long-term planning, which is now viewed through the lens of how it will affect short-term quarterly finances.

"It's very hard to put leverage on this company", due to its negative cash flow and "operational issues", Scott said Wednesday on Bloomberg Television.

Musk also said he intends to give Tesla's existing shareholders the option of retaining a stake in the company through a special fund, if they want. "Third, we note this rally has enhanced TSLA's credit position by putting $890M of its March 2019 converts into the money easing one credit concern, but if execution trouble continues we believe this announcement likely complicates and slows a potential capital raise".

Chelsea agree to sell Thibaut Courtois to Real Madrid
Athletic confirmed earlier on Wednesday that Arrizabalaga's representatives deposited his buy-out clause at La Liga's offices. The 23-year-old Spain global is now the most expensive goalkeeper of all time and will join the Blues on a seven-year deal.

Making money has proven elusive for Tesla while it has been investing in electric auto technology and ramping up production of its vehicles, including a sedan with a starting price of $35,000 to appeal to a broader audience.

Latest News