TSLA what a joke

[ajacobson]

Did Elon Musk break any laws with his going-private tweet today?

https://www.marketwatch.com/story/d...with-his-going-private-tweet-today-2018-08-07

 

[maxinger]

Stock cannot be a joke!
Market cannot be stupid.
People could be.

We just need to look at things from opportunistic point of view and not negatively.

 

[Humpy]

What a showman.
He can talk even sensible people out of their hard earned.
Be wary…………………….…….

 

[silveredge]

Perhaps because a minimum half the float isn't going to lend under any circumstances?

Why don't they? first time seeing a large stock unavailable in IB

 

[Humpy]

The silly money never seems to dry up.
A lot of it went into cryptos. Well it would.

 

[Daal]

Given how erratic and volatile Musk's behavior has been this year, I would not be surprised if he is just messing around, trying to ruin shorts P&Ls. He did say "Am CONSIDERING" after all

 

[Daal]

Given how erratic and volatile Musk's behavior has been this year, I would not be surprised if he is just messing around, trying to ruin shorts P&Ls. He did say "Am CONSIDERING" after all

What legally prevents Musk from saying "we couldn't agree on an interest rate that I thought it made sense so I decided not to move forward"? Anyone know? From my layman's perspective, there is nothing to prevent him to backing out specially considering that he is known to make promises he doesn't deliver on

 

[Pekelo]

Funny that, since Dell going private is one of the best precedents for Tesla!

Well, if history is to repeat itself:

"What he dreams of is $70+ billion which would be the largest LBO, ever. BTW - Energy Future Holdings (TXU) was the largest LBO in 2007 for $32 billion plus about $13 billion in assumed debt and declared Chap 11 BK in April 2014. KKR, TPG and Goldman Sachs Group Inc.'s GS 0.81% private-equity arm company have written down nearly all of the $8 billion they originally invested."

 

[Pekelo]

I agree with everything, but...

SpaceX and TSLA work symbiotically on government contracts that are awarded through the typical DC techniques.

TSLA never had a government contract unless some super duper secret ones.... Care to share it?

 

[Arnie]

Good point, the debt portion of that LBO would be serious junk territory. Which would just up the chance of eventual bankruptcy as we see frequently in LBOs after the PE team has drained everything out of them.

What's to drain?
I just don't get leveraging a co that is losing this kind of money. I don't see the end game to going private.