Elon Musk says he's considering taking Tesla private

Elon Musk

Elon Musk

Elon Musk is considering taking Tesla Inc private, the chief executive officer of the electric car-maker tweeted on Tuesday.

"Am considering taking Tesla private at $420".

Tesla has been publicly traded since 2010, and has seen its share price rise from just under $20 then to $360 at time of writing. The stock was up Tuesday after the Financial Times reported that Saudi Arabia had taken a $2 billion stake in the electric vehicle company.

Mr Musk has previously discussed the drawbacks of being a public company, saying shareholder demands often produce short-term thinking. The stock had been up earlier in the day after The Financial Times reported a Saudi Arabian sovereign wealth fund had bought a $2 billion stake in Tesla. Mr. Musk has a history of joking on Twitter and sending erratic tweets.

At $420 per share, a deal would represent a 22.8 percent premium to Tesla's closing price on Monday, making it one of the biggest go-private deals with a price tag of about $72 billion.

Tesla's stock spiked Tuesday after Musk made the abrupt announcement in a terse tweet.

Notícias recomendadas

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.