Musk’s Offers on Twitter Sent Tesla Shares Sky High


The cost of shares of the manufacturer of electric vehicles Tesla on Tuesday, August 7, jumped by seven percent on the background of the statement of the CEO Elon Musk.

In a series of tweets Musk said he was considering a possibility of transformation of the company which now is public in private.

“Am considering taking Tesla private at $ 420. Funding secured,” he wrote on Twitter.

Obviously, the businessman had in mind 420 dollars for one share of the company. After that, Tesla’s share price went seven percent up, to $ 367 per unit.

Musk, who owns about 20 percent of the company, does not expect that any of the shareholders will receive a controlling stake. “Under any scenario, I will not sell,” he wrote.

The entrepreneur hopes that all current investors will remain with Tesla, even if the company goes private. A special fund will be created for this purpose.

Many observers doubt the seriousness of Musk’s intent. The company itself has not yet commented on its CEO statements. However, Mask answered in the affirmative when asked if his intentions were serious.

Earlier, the Financial Times reported that the sovereign wealth fund of Saudi Arabia since the beginning of the year purchased from three to five percent of Tesla’s shares. The size of investments is estimated at $ 1.7-2.9 billion. According to Bloomberg, the Saudi fund has become one of the company’s eight largest shareholders.

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