Skip to main content

Posts

Showing posts from August, 2018

Mark Cuban on Elon Musk and Tesla: "You're Investing in an Entrepreneur"

Well the long knives were certainly out for Tesla (TSLA) and its CEO, Elon Musk this week.

Wall Street, legal firms, the SEC, and media talking heads were all roused to action (or comment) over Musk's recent proposal to take the company private at $420 per share.

After floating the idea (via Twitter) of a private buyout of Tesla on August 7, Musk wrote to Tesla employees and shareholders about his vision for running Tesla as a private firm in a blog post entitled, "Taking Tesla Private".

Among the advantages of operating Tesla as a private firm (as well as the disadvantages of being a publicly traded company), Musk lists the following: 

"...First, a final decision has not yet been made, but the reason for doing this is all about creating the environment for Tesla to operate best. As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla, all of whom are shareholders. 

Being public also subject…