Tech billionaire Elon Musk, who has been in the news for a variety of reasons ranging from Tesla’s issues with regularising the production of its new entry electric car, the Model 3, along with the successful launch of the Falcon Heavy has sprung a surprise by tweeting his desire to take Tesla Motors private.
This comes on the back of reports suggesting that Saudi Arabia’s Public Investment Fund had built up a stake in the firm. The tweet and the offer price suggested at $420 per share has boosted Tesla’s share price. The offer values the company at $82 billion so there is some more room for the shares to rise.
Am considering taking Tesla private at $420. Funding secured.
— Elon Musk (@elonmusk) August 7, 2018
The bold move seems to indicate Musk’s confidence with the Model 3 production ramp up as well as the future prospects of the company.
While his communication to company employees did not indicate that funding was in place, it is likely that Musk has deep pocketed backers who would like to operate outside the glare of investment analysts and advisers.