Tesla: Elon Musk floats plans to take carmaker private

Wed, Aug 8th 2018, 12:38 PM

He said de-listing from the stock exchange meant Tesla, currently valued at $63.8bn (£50bn), would no longer be under the glare of Wall Street.

In an unusual move, Mr Musk first made the announcement on Twitter rather than via an official regulatory disclosure.

But analysts are sceptical about what would be the biggest buyout in history.

Since Tesla floated on the stock market, Mr Musk has clashed with analysts and complained that quarterly scrutiny of the firm's finances encourages short-term thinking.

Tesla shares ended the day 11% up at almost $380 per share - close to their all-time high. Mr Musk said shareholders would be offered $420 per share, valuing the business at more than $80bn, including debt.

A buyout at that value would make it by far the biggest such deal. The current biggest is the purchase of utility TXU Corp in 2007 for $44bn by a consortium that included KKR and TPG.

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