That's correct. The plaintiffs can seek preliminary injunction to stop the merger but things will proceed unless they are told to stop. An October date won't delay anything; SEC hasn't started commenting yet.
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MitchJi
Trying to learn kindness, patience & forgiveness
When do you think (current guess) the vote will happen?
The prospectus for all three issues (2018,2019,2021) require the principal amount to be paid in cash
$426 million in face value noticed early conversion after 6/30/16. Assuming the VWAP for those conversions(each holder could have given notice on a different dates causing a slightly different VWAP) was $225 (predominate price in August):
-the first $124.52 of the VWAP was settled by Tesla in cash
-the IB hedge writers were responsible for the next ~$60 of the VWAP ($184.48-$124.52) (it's unclear how this was settled).
-this leaves $40,52 to be settled at Tesla's option in either cash or shares.
The share equivalent of the $426 million in face value would be (426/660) x 5.3 million = 3.42 million shares
So if only the un-hedged portion was paid in shares (and the newly issued shares were at the VWAP) : ($40.52/$225) x 3.42 million = 615,900 shares.
Note: the 10Q on August 5, 2016 said a cumulative $411m million of face value had been noticed for conversion. Approximately $14 million of that was prior to 6/30/16, leaving $397 million being noticed between 6/30/16 and 8/5/16, and apparently another $15 million in face value of new notices between 8/5/16 and 8/31/16. If one were to use either alternate amounts of face value, the additional shares would calculate as:
$397 million = 574,000 shares
$411 million = 594,000 shares
The VWAP and the stock price on the date(s) the shares were distributed to the noticing note holders also affect the calculation of the number of new shares issued. The IB hedge writers could have settled their middle layer in cash or previously-issued shares already counted in shares outstanding (from their own internal hedging). The maximum number of new shares for the early conversion notices received thus far is about 1.5 million, assuming the IB hedge writers settled with Tesla for cash and Tesla uses shares to settle with note holders for everything above par.
Total guess, but late Nov/December is what I've been projecting.
Excellent, thanks.The prospectus for all three issues (2018,2019,2021) require the principal amount to be paid in cash
$426 million in face value noticed early conversion after 6/30/16. Assuming the VWAP for those conversions(each holder could have given notice on a different dates causing a slightly different VWAP) was $225 (predominate price in August):
-the first $124.52 of the VWAP was settled by Tesla in cash
-the IB hedge writers were responsible for the next ~$60 of the VWAP ($184.48-$124.52) (it's unclear how this was settled).
-this leaves $40,52 to be settled at Tesla's option in either cash or shares.
The share equivalent of the $426 million in face value would be (426/660) x 5.3 million = 3.42 million shares
So if only the un-hedged portion was paid in shares (and the newly issued shares were at the VWAP) : ($40.52/$225) x 3.42 million = 615,900 shares.
Note: the 10Q on August 5, 2016 said a cumulative $411m million of face value had been noticed for conversion. Approximately $14 million of that was prior to 6/30/16, leaving $397 million being noticed between 6/30/16 and 8/5/16, and apparently another $15 million in face value of new notices between 8/5/16 and 8/31/16. If one were to use either alternate amounts of face value, the additional shares would calculate as:
$397 million = 574,000 shares
$411 million = 594,000 shares
The VWAP and the stock price on the date(s) the shares were distributed to the noticing note holders also affect the calculation of the number of new shares issued. The IB hedge writers could have settled their middle layer in cash or previously-issued shares already counted in shares outstanding (from their own internal hedging). The maximum number of new shares for the early conversion notices received thus far is about 1.5 million, assuming the IB hedge writers settled with Tesla for cash and Tesla uses shares to settle with note holders for everything above par.
racer26
Active Member
MBLY seems to have opened to a big gap up. Anybody know why? With the guidelines from the Feds coming I'd have expected them to be hurting, not gaining. They don't have nearly the same ability to adapt to it that TSLA does.
MitchJi
Trying to learn kindness, patience & forgiveness
Just read this summary of analysts expectations for revenue and earnings for Q3 and Q4.
Analysts Tips to Monitor: Tesla Motors, Inc. (NASDAQ:TSLA)Street Updates | Street Updates
What I do not understand is how analysts come up with higher revenue and earnings in Q4 compared to Q3. They should all know that Tesla is pushing hard in Q3 and will close production for two weeks in Q4.
"Wall Street Analysts are estimating average sales of $2,236.16M for current quarter (Quarter Ending Sep-16)...Analysts on average are expecting revenue target $2,706.83M for next quarter (Quarter Ending Dec-16). "
"Earnings Estimates: “15” Analysts are saying that the company to announce quarterly earnings of $0.04 per share for current quarter period Quarter Ending Sep-16...“15” Analysts are expecting that the company to declare next quarterly earnings of $0.58 per share for period Quarter Ending Dec-16."
Do the analysts know something we do not? Or possibly, they are not doing their job of following information on Tesla that is widely known to this community. Or finally, are they intentionally forecasting a totally unrealistic revenue and earnings scenario for Q4 to achieve some unknown agenda?
Analysts Tips to Monitor: Tesla Motors, Inc. (NASDAQ:TSLA)Street Updates | Street Updates
What I do not understand is how analysts come up with higher revenue and earnings in Q4 compared to Q3. They should all know that Tesla is pushing hard in Q3 and will close production for two weeks in Q4.
"Wall Street Analysts are estimating average sales of $2,236.16M for current quarter (Quarter Ending Sep-16)...Analysts on average are expecting revenue target $2,706.83M for next quarter (Quarter Ending Dec-16). "
"Earnings Estimates: “15” Analysts are saying that the company to announce quarterly earnings of $0.04 per share for current quarter period Quarter Ending Sep-16...“15” Analysts are expecting that the company to declare next quarterly earnings of $0.58 per share for period Quarter Ending Dec-16."
Do the analysts know something we do not? Or possibly, they are not doing their job of following information on Tesla that is widely known to this community. Or finally, are they intentionally forecasting a totally unrealistic revenue and earnings scenario for Q4 to achieve some unknown agenda?
Ulmo
Active Member
Elon put a huge hedge in the Wednesday release:
EM on Sep 16, 12:16AM: "@vicentes @EdibleApple Hoping to start WW rollout of 8.0 on Wednesday if no last minute issues discovered."
The remote fix already pushed in 7.x, aka 2.36.31 from ev-fw.com Friday Sep 17, was at least a day after that tweet. Either 2.36.31 was a fix started, tested, finished and released all in the less than 2 days after that tweet, or that tweet came out at the same time as the polish on the release of 2.36.31 was already being done, and EM had a view into when he could go forth with the fixed 8.0. This could also describe part of the "worst week in my life" comment that baffled so many of us.
I agree there's a hedge on the Wed delivery but my only point is that it was scheduled for the day after (previously unknown to the public) AP guidelines would be published. To me, that suggested that all the AP enhancements/restrictions were developed in concert with the NHTSA and would immediately comply with the guidelines.
The bug was reported to them ~11 days (from Tesla's response to electrek) ago: First Tesla Model S remotely controlled by hackers, Tesla already pushed a fix
"Within just 10 days of receiving this report, Tesla has already deployed an over-the-air software update (v7.1, 2.36.31) that addresses the potential security issues."
So the fix was already tested by the time of the tweet.
Edit: 11 days ago, since the fix was released 10 days from bug report.
Krugerrand
Meow
I think the poster is making an assumption that there will be a short stoppage in production post the Q3 push. Sometimes Tesla has given employees a break after these types of pushes.
Calvin.K
Member
Gap between Tesla and Solar City is narrowing, first time I have seen Solar City up while Tesla is down in awhile
Ulmo
Active Member
Oh, ok, sorry, I didn't understand the "ap guidelines" reference to Tuesday from NHSTA until now. Just found it: Federal Automated Vehicles Policy - September 2016 (Note that since it is Government, it is incompetent at giving the actual date, just a month.) Ok, I didn't know about that. (I don't track government; they don't think like I do so I never understand them and don't learn from them.) Blech, that document doesn't have any engineering in it. It gives me a brainache.
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racer26
Active Member
While its nice to see the gap closing, I can think of a few ways I would prefer to see it close over this way.
Calvin.K
Member
I agree would rather have both Tesla and SolarCIty rising, with Solarcity rising faster to close the gap (Discloser: I own both, long since 2012)
SW2Fiddler
We Are Cognitive Dissidents
Calvin.K
Member
Senate Hearings and Friendly Mergers
Is this the reason for most of the SolarCity strength this morning? just renewed confidence in the deal going through?
Is this the reason for most of the SolarCity strength this morning? just renewed confidence in the deal going through?
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