Blog Tesla Board Members Release Statement on Proposal to Take Company Private

Tesla’s board of directors has met “several times” to discuss Chief Executive Elon Musk’s proposal to take the company private, according to a statement.

Musk tweeted Tuesday that he was “considering taking Tesla private” and that he had the funding in line to do so. He then followed up with a letter to employees saying the proposal “would ultimately be an enormous opportunity for all of us.”

Members including Brad Buss, Robyn Denholm, Ira Ehrenpreis, Antonio Gracias, Linda Johnson Rice and James Murdoch signed the statement issued Wednesday.

Here’s the board’s full statement:

Last week, Elon opened a discussion with the board about taking the company private. This included discussion as to how being private could better serve Tesla’s long-term interests, and also addressed the funding for this to occur. The board has met several times over the last week and is taking the appropriate next steps to evaluate this.

 

[JonathanD]

Welp, this is what boards are for, will be interesting to hear their take on it.

While the concept of not having to worry about all the gymnastics involved in being a public company, going private also means capital raising options are more limited and the master plan calls for some pretty massive capital investments. Either Elon thinks he can get those privately or he thinks they'll be profitable enough to self-fund (seems like that would be a challenge).

 

[Latorre]

We should see what other Tech Compnies have done in the past when faced with this scenario. Dell took it Private and passionately built it back up to a Power House....again

 

[Garlan Garner]

I absolutely love the option of making Tesla private.

Shorters will have to fade off into the sunset.