Taking a reverse from his own statement, Tesla chief executive officer Elon Musk confirmed on friday through a blog post that Tesla would remain public. a couple of weeks past, he solely urged that he would take the electric car manufacturer private.
In his statement, chief executive officer Elon Musk aforesaid that his decision is on the backdrop of feedback from shareholders which also include institutional investors. He aforesaid that the shareholders aforesaid that the internal rules limit them on how much they can float into a private company.
In his blog post, Musk wrote that he met the board of directors on thursday and informed them that “I believe the better path is for Tesla to stay public.” He more wrote, to which the board indicated that they agree.
Notably, Musk posted on Twitter on August seven, that he was considering taking the company private. In his tweet, Musk said, with the company going private there would be no pressure of reporting the quarterly results. His tweet further read that funding had been secured for the deal however later it had been denied saying that things are still to be worked out with Saudi Arabia’s Public Investment Fund.
This tweet was written by Musk while he was driving to the airport. Apparently, soon after the tweet, U.S. Securities and Exchange Commission looked into the matter so as to find out whether this was intentional from Musk so that he could maneuver the share prices which have fallen down after his tweet.
Source: Tesla to Remain Public, Confirms CEO in a Blog Post
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