Giant Saudi fund emerges as backer of bid for Elon Musk's Tesla

13 August, 2018, 16:55 | Author: Regina Silva
  • Giant Saudi fund emerges as backer of bid for Elon Musk's Tesla

In one of the lawsuits, the plaintiff Kalman Isaacs said Musk's tweets were false and misleading, and together with Tesla's failure to correct them amounted to a "nuclear attack" created to "completely decimate" short-sellers.

Reuters reported on August 11 that the PIF has shown no interest so far in financing Musk's proposed deal, while CNBC said on August 9 that Musk previously talked with the Saudi fund about a take-private deal, citing one person familiar with the matter.

According to a Bloomberg report, published Sunday, part of the financing for taking Tesla private might come from Saudi Arabia's Public Investment Fund (PIF).

In a blog post, Mr Musk said that he only wanted to buy out shareholders who no longer wanted to own Tesla shares.

The lawsuits were filed three days after Musk stunned investors by announcing on Twitter that he might take Tesla private in a record $72 billion transaction that valued the company at $420 per share, and that "funding" had been "secured".

In laying out why he is considering taking Tesla private, Musk pointed in part to shorts.

Rand plunges to 2-year low as Turkish crisis hits emerging markets
The conventional response to a collapse in the currency and a surge in imported inflation is to raise interest rates. As investors dumped riskier assets, emerging market forex continued to reel as investors anxious about contagion.


President Trump Issues Statement Ahead of Deadly Charlottesville Anniversary
Officials said the suspect and other individuals then continued marching in the demonstration . "The city welcomed our resources". As the trooper attempted to take her into custody, she clung to another demonstrator. "It was never all about Heather", she said.


Stormy Daniels’s Lawyer Is Considering a Run for President
Avenatti represents children two Honduran girls shipped to NY after being separated from their parents at the Mexican border. But Avenatti says times have changed, adding, "Democrats need to nominate somebody who can actually beat this guy".


Musk is interested in having a wide pool of investors rather than few stakeholders.

The Public Investment Fund didn't respond to requests for comment, and Tesla declined to comment. The US Securities and Exchange Commission is examining whether the tweet was meant to be factual, according to a person familiar with the matter, and at least two investors have sued Musk and Tesla alleging share-price manipulation.

It is understood Saudi Arabia views an investment in Tesla as a strategic hedge against the oil price. Saudi's sovereign fund - Public Investment Fund - had built almost five percent stake before Musk's tweet.

SoftBank's decision to back away from any potential Tesla take-private is noteworthy given its self-styled reputation as the investor du jour for any technology or tech-enabled asset that comes to market. In a tweet on Sunday, the nation's Energy Department said Saudi Arabia now is working to develop a city to support the supply of raw materials and parts for the automobile industry.

The question of privatisation is still carrying on in financial circles, but for those outside the Wall Street bubble the episode is a timely reminder: When you're as big as Musk, Twitter can be an expensive habit.

Recommended:

  • Northern Syria explosion kills at least 36 but cause remains unclear

    Northern Syria explosion kills at least 36 but cause remains unclear

    The Britain-based Syrian Observatory for Human Rights put the death toll at 39, including 21 women and children. It says the depot was run by an arms dealer close to the Levant Liberation Committee, an al-Qaida-linked group.
    England vs India - Highlights & Stats

    England vs India - Highlights & Stats

    Indian writers lambasted India´s batsmen while hailing England´s pace spearhead James Anderson who took nine wickets in the match. It formed part of a hugely eventful over, with Karthik out lbw first ball to another sharp in-ducker from Broad.
    Lance Armstrong goes to hospital after bike crash

    Lance Armstrong goes to hospital after bike crash

    For what it's worth, according to the Town of Snowmass' website, the Tom Blake Trail is intermediate and around 3.91 miles long . The famous cyclist was exploring the Tom Blake trail in Colorado when the accident occurred, Sports Illustrated reported .
  • Ronaldo scores in Juventus v Juventus B match

    Ronaldo scores in Juventus v Juventus B match

    But anyway, you can see this excellent clip below as Dybala and Costa team up on five-time Ballon d'Or victor Cristiano Ronaldo . Cristiano Ronaldo scored his first goal for Juventus today, albeit in the pre-season friendly, against a Juventus B team.
    Brooks Koepka holds off Tiger Woods to win PGA Championship

    Brooks Koepka holds off Tiger Woods to win PGA Championship

    At this major, it wasn't enough. "I knew what I was up against", Koepka said later, "and Scotty played unbelievably well". He missed a couple of birdie chances after forging that tie, and a bogey at 18 left him with a final-round 67.
    Bakayoko could make permanent move

    Bakayoko could make permanent move

    Bakayoko arrived at Milan airport on Sunday and is due to undergo a medical on Monday. The French midfielder made 43 appearances in his first season at Stamford Bridge.
  • Baltimore police repeatedly punch man in the head in shocking VIDEO

    Baltimore police repeatedly punch man in the head in shocking VIDEO

    The police officer struck the man several times before he was taken into custody and received medical treatment for his injuries. The consent decree also required the creation of an independent team of experts to monitor the police departments compliance.
    Ex-White House employee releases tape of her firing

    Ex-White House employee releases tape of her firing

    Another senior White House official described Newman as unprofessional, and recalled that she would shop online during meetings. She said the recording took place in the Situation Room, raising questions about security and ethics.
    FBI recovers body, data recorder from stolen Horizon Air turboprop plane

    FBI recovers body, data recorder from stolen Horizon Air turboprop plane

    He flew it for an hour, followed by two armed F-15 jets from OR that the military scrambled, before he crashed. Russell managed to steal a 76-seat Horizon Air turboprop from a maintenance area by himself.
  • How Much Money Tiger Woods Won Finishing 2nd At PGA Championship

    How Much Money Tiger Woods Won Finishing 2nd At PGA Championship

    He birdied the next two holes. "I didn't play the last two holes very well". "To do this is truly incredible", Koepka said. " St. There is little doubt that Koepka is now a major force on the circuit, and a potential world number one in the making.

    Who Will Fund Elon Musk's Tesla Takeover? It Could Be Saudi Arabia

    The government is planning to turn the PIF into a $2 trillion powerhouse to help diversify the kingdom's oil-dependent economy. This source said that the Saudi fund would not make an investment of this kind without seeking guidance first from Softbank.
    Nadal topples birthday boy Tsitsipas in Toronto final

    Nadal topples birthday boy Tsitsipas in Toronto final

    But this time he was the veteran - a 17-time Grand Slam victor - facing off against a shaggy-haired, hot-shot kid. World No.1 Nadal won a battle of the tennis generations with Tsitsipas last April in the Barcelona title match.


Popular

'Totally complicit': Omarosa Manigault Newman recorded her White House firing
She said that she was "totally complicit" when she defended the president after the Charlottesville riots one year ago. Manigault's book Unhinged: An Insider's Account of the Trump White House will be released this Tuesday.

Five nations agree to divvy up resources-rich Caspian Sea
Nevertheless, Iran and Russian Federation could still challenge the pipeline on ecological grounds. The summit mainly focused on the legal status of the Caspian Sea.

9th gen Intel Core processors leak: everything you need to know
To me this slide looks a bit dodgy as the Trademark/Family name row says that the i7-9700K is part of the Intel Core 17 family. This processor has some interesting stuff, it can do 5.0 GHz on a single and dual-core turbo frequency.

Meghan's father hung up on Harry in phone row
Mr Markle said he told Harry: 'Maybe it would be better for you guys if I was dead... then you could pretend to be sad'. Mr Markle told his soon-to-be son-in-law that he was simply being "measured for a hoodie".

Three thousand clawing for job running cat sanctuary on Greek island
The part-time paid job entails looking after 55 cats, and offers (free!) lodging in the form of the sanctuary manager's house. In the autumn, the couple plan to return NY , where Mr Bowell has work commitments with the United Nations.

Where is the Snobby Shores treasure map in Fortnite week 5's challenges?
The Snobby Shores map challenge is complicated simply by the fact that the map randomly spawns in the Snobby Shores area. Then, as you get closer, aim for the building to the left of the church.

Unai Emery Reveals Why He Didn’t Start Bernd Leno Today
On his day, there are not many like him in the Premier League. "We spoke about trying to be what we were". We'll do our effort to make him feel we count on him.

Cristiano Ronaldo scores on Juventus debut, but his side falls 3-2
After the game, fans at the game, who had come in their numbers to catch a glimpse of their new number 7, flooded onto the pitch. He was all alone and finished into the left side of the goal easily .

V.S. Naipaul, Nobel Prize-Winning Author, Dies at 85
In a vigilant style, (he) transforms rage into precision and allows events to speak with their own inherent irony". He met his first wife, Pat, at Oxford, who became his constant literary support.

Three things Manchester United learned in win over Leicester City
But in comments attributed to Pogba in today's British newspapers, he says: "There are things I can say and there are things I cannot say. otherwise I will get fined".