Elon Musk could have sold shares in SpaceX to take Tesla private for $420 per share – that’s how he explained in court a 2018 tweet that caused shareholder losses.

Elon Musk could have sold shares in SpaceX to take Tesla private for $420 per share - that's how he explained in court a 2018 tweet that caused shareholder losses.

Elon Musk says he could have sold his SpaceX shares to buy Tesla privately, but wasn’t going to do it outright. The confirmation came as Musk testified in a lawsuit filed by the company’s shareholders over his 2018 tweets, which sent shares plummeting.

We help


Musk stated: “SpaceX shares in themselves meant secured funding. Not that I wanted to sell SpaceX stock, but I could. And if you look at the Twitter transaction, that’s what I did. I sold Tesla stock to complete the Twitter transaction. And I would do the same here.”

The plaintiffs’ lawsuit is based on Musk’s infamous tweet in 2018, in which he said he was “looking at taking Tesla private for $420. [за акцию]”. Tesla shares then temporarily stopped trading and remained volatile for the following weeks. At the time, Musk said that just because he tweets, people shouldn’t necessarily take it as a guide to action.

This time, Musk repeated his previous statement that he has an agreement with the Public Investment Fund of Saudi Arabia to privatize Tesla. He told the court that the country had unconditionally supported the deal, which ultimately did not happen. The court discussed his communication and possible falling out with Saudi fund manager Yasir Al-Rumayan over the deal. Jurors were reportedly presented with a text message exchange in which Musk accused Al-Rumayan of reneging on their deal. A Saudi representative responded that he did not have enough information to commit to a buyout and called Musk’s public statement reckless.



Master the profession of a business analyst in IT and earn from $700 at the beginning of your career.

REGISTER!analytical IT

The judge in that case has already determined that his tweets were “objectively false and reckless.” However, the plaintiffs will still have to prove that Musk knew his tweets were misleading and that his tweets caused damages in order to win the case.

The court rejected Elon Musk’s request – he will have to continue to agree with a lawyer about his tweets about Tesla even after buying Twitter

Sources: Engadget, Bloomberg, CNBC, Reuters illustration

Related Posts

Chinese nuclear weapons developer uses Intel and Nvidia hardware – despite being on US ‘export blacklist’ since 1997

The US continues to tighten restrictions on chip exports to China, but some companies have been on the US blacklist for decades. For example, China’s nuclear weapons…

Spotify surpasses 205 million paid subscribers and 489 million monthly active users – fourth quarter report

Spotify’s financial report for the fourth quarter of 2022 comes a week after the company announced that it was laying off 6% of its staff (just under…

DC Studios and James Gunn presented 10 new films and series of the superhero film universe

DC Studios and James Gunn, who is responsible, together with Peter Safran, for the development of the DC film universe, revealed the full list of tapes that…

The most interesting new films of February 2023

February cannot boast of a large number of interesting movie news. But let’s not forget that this is the shortest month of the year. In addition, the…

The main trailer of the animated film “Mavka. Forest Song” based on Lesya Ukrainka’s play (premiere – March 2, 2023)

A month before the national film premiere, the Animagrad studio published the second trailer of the animated film “Mavka. Forest Song”. In the video, viewers will see…

Views of “The Last of Us” increased by 12% – the dramatic third episode was viewed by 6.4 million viewers

HBO’s adaptation of Naughty Dog’s game of the same name continues to show an increase in viewership with each new series: the debut was watched by 4.7…

Leave a Reply

Your email address will not be published. Required fields are marked *