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Partial Tender Offer

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Sancho

Member
Supporting Member
Feb 18, 2016
802
11,972
Illinois
Tesla should not be maximizing for profits at this stage of high growth opportunity. But in the absence of profits, the manipulators can continue to depress the SP, which negatively impacts the ability of Tesla to use its equity for employee compensation, acquisitions, and other purposes.

The best solution would be a going private transaction, but we all know how that worked out.

Another solution would be to have someone friendly to Musk (Ellison is one, but there are lots of other candidates) to initiate a partial tender offer. An offer to buy a certain number of shares at, say, $280, represents a 20% premium, but is also likely to be a highly profitable investment. It could be followed by another partial tender offer at, say, $320, and so on until the true value that long term shareholders are willing to sell their stock is reached.