Tesla CEO Elon Musk disclosed that the company will continue with publicity traded, weeks after it suggested taking electric carmaker private.
On Thursday, Mr. Musk conversed over this matter with Tesla directorial board members and wrote on the company blog that “let them know that I believe the better path is for Tesla to remain public. The Board indicated that they agree.”
With the announcement on Tweeter, Musk made on August 7 that he wanted the company “going private” at a share of $420. After the declaration, Tesla’s shares fall to over 20%.
The company also came under investigation after CEO Musk made the announcement to go private. He in his Twitter statement claims that the company is ‘secured’ funding for the initiative they decided to take.
However, based on the conversation with its current Shareholders, financial advisers Goldman Sachs, Silver Lake and Morgan Stanley, which Musk had on Friday stated that “it’s apparent that most of Tesla’s existing shareholders believe we are better off as a public company.”
He wrote in his social media post that irrespective of having a number of shareholders “said they would remain with Tesla if we went private, the sentiment, in a nutshell, was ‘please don’t do this.”
“I knew the process of going private would be challenging, but it’s clear that it would be even more time-consuming and distracting than initially anticipated,” he added.