Definitely hold onto it. Elon is a liar
well considering the float is closer to 125M, that is something, but I'm sure that trading means that each share traded was traded more than once per day. Easy.
Who are you kidding. You certainly aren't fooling anyone here.
Not only that, it's not true. I fully expect and support Elon Musk NOT recusing himself: he KNOWS that this has been his plan all along, and INTENDED to vote ALL of his shares FOR this future. That's part of why he has his portion of control.
A bar in Reykjavík?
Maybe we can get an annual meeting (read: party) like Warren Buffett has for the Berkshire Hathaway shareholders
Yes, but once the shorts purchase the shares needed to cover, do you think they will roll into TSLAP? Cynically, maybe they do an about face and see it as the best chance to cover their lossesExactly. I don't know why no one in the media seems to understand that the shorts are buying back something like 1/2 of the shares necessary to close Elon's deal that will burn their position into the ground. Poetic justice.
Here is the math according to Gene Munster in the post above:
"Insiders, including Musk, own just over 25% of Tesla shares. Individual investors account for 12% of shares, and large institutional investors like Fidelity and T. Rowe Price make up the remaining 63%. We believe nearly all investors would be supportive of going private, but not all institutional funds would be able to participate in private investments. For that reason, we assume half of Tesla’s institutional ownership (~30% of the company) needs to be bought out. Individual investors, who see greater upside than 13.5%, would likely prefer to maintain ownership if they are able to, depending on fund structure and accredited investor requirements. In short, the more shareholders that decide to roll their shares into the private entity, the less funding Tesla will need for a buyout. By our math, Tesla will need between $25 and $30B."
But Munster does not account for the fact that there are effectively 205 millions shares outstanding because shorts have borrowed 35 million on top of 170 million outstanding.
Once the short sellers are forced to buy those shares back for ~$13billion, the new investors only need to pay something like $12-$13B to get the deal closed. The shorts buy out the rest of the institutions and retail shareholders who don't want to be part of the private Tesla.
, but that seems a little too ironic. In which case, the "investors" will need to pay them their $420 per share, adding back the $13B they spent to buy out the institutional shareholders.
But you are assuming retail investors and those institutions who cannot participate in a private company would be willing to sell their shares and lose out on future growth and earnings. I do not see that as a reality. By voting "no" they get to continue in the game.Exactly. I don't know why no one in the media seems to understand that the shorts are buying back something like 1/2 of the shares necessary to close Elon's deal that will burn their position into the ground. Poetic justice.
Here is the math according to Gene Munster in the post above:
"Insiders, including Musk, own just over 25% of Tesla shares. Individual investors account for 12% of shares, and large institutional investors like Fidelity and T. Rowe Price make up the remaining 63%. We believe nearly all investors would be supportive of going private, but not all institutional funds would be able to participate in private investments. For that reason, we assume half of Tesla’s institutional ownership (~30% of the company) needs to be bought out. Individual investors, who see greater upside than 13.5%, would likely prefer to maintain ownership if they are able to, depending on fund structure and accredited investor requirements. In short, the more shareholders that decide to roll their shares into the private entity, the less funding Tesla will need for a buyout. By our math, Tesla will need between $25 and $30B."
But Munster does not account for the fact that there are effectively 205 millions shares outstanding because shorts have borrowed 35 million on top of 170 million outstanding.
Once the short sellers are forced to buy those shares back for ~$13billion, the new investors only need to pay something like $13-$15B to get the deal closed. The shorts buy out the rest of the institutions and retail shareholders who don't want to be part of the private Tesla.
Short sellers already sold the shares, they are buying back shares after the fact to cover the sale. After the completion of a short sale, they have no net shares.Yes, but once the shorts purchase the shares needed to cover, do you think they will roll into TSLAP? Cynically, maybe they do an about face and see it as the best chance to cover their losses
