The second was that Tesla's stock price spiked almost 40 dollars a share, from $342 to $380, which led to trading being halted on the stock. In a classic go-private transaction, a small group of investors would buy Tesla's shares and become Tesla's sole owners.
The strong rebuke from the board hinted strongly that the idea of taking Tesla private at $420 a share would be engineered by Musk - and not by the board.
Tesla said the statement was made by members Brad Buss, Robyn Denholm, Ira Ehrenpreis, Antonio Gracias, Linda Johnson Rice, and James Murdoch, but Kimbal Musk, Elon's brother, and venture capitalist Steve Jurvetson, who are also on the Board of Directors, were not on the list of the signatory members. And Tesla's market value soared by $900 million in a matter of hours.
The murkiness of the financing could turn into a legal mine field for Musk and Tesla, according to both Coffee and former SEC lawyer Pete Henning, now a law professor at Wayne State University.
Musk said funding was secured but offered no details as to which investor may be willing to cough up the billions needed to take Tesla off public stock exchanges.
"I'm still trying to understand why he even went public like this", Whiston said, "because I don't see a point in going public to say you are considering going private unless you're trying to get, perhaps, the price higher than $US420 a share, or you're just really eager to hurt the short-sellers".
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He is going to use everything he can against her in court to insure that he gets as much custody of the kids as possible. The couple separated in September 2016 after two years of marriage and filed for divorce shortly after.
The agency declined to comment and Tesla did not immediately respond to requests for comment. If Musk has lined up $85 billion of private capital that is intelligent, patient and committed to Musk's vision of a high-tech clean energy economy with Tesla as its most prominent and powerful corporate citizen, then I think he should do it, and do it now.
News of the potential buyout already has stung investors known as "short sellers" who have always been a thorn in Musk's side. Musk said via Twitter on Tuesday that the deal was contingent on a shareholder vote but that "investor support is confirmed".
"What investors are waiting for is more details around what is meant when Elon Musk says funding is secured", George Galliers, an analyst at Evercore ISI who rates Tesla the equivalent of a hold, said on Bloomberg Television.
Being a public company subjects Tesla to quarterly earnings cycles, which put pressure on the company's leadership to make short-term decisions rather than long-term, Musk said. He said that Tesla had not received such a notice, and that he had no expectation of raising new equity. The fund owns between 3% and 5% of Tesla's total stock, meaning the stake is likely worth $US1.7 billion to $US2.9 billion. This deal to take Tesla into a private could lead to a rave of fees for the Wall Street.