- General
- August 25, 2018
- 4 minutes read
Tesla to remain as a public company
Tesla After several speculations surrounding the acquisition of EV maker Tesla as proposed by its, CEO Elon Musk, The company…
 |
| Tesla |
After several speculations surrounding the acquisition of EV maker Tesla as proposed by its, CEO Elon Musk, The company would now remain public according to a new statement from Musk which states of Tesla choosing that path after consideration of what is best for its operations as he penned down that most of its investors believe it’s better off being public.
As per the post, The complexity of a going private process contributed to its decision to stay public as a number of institutional shareholders explained of having internal compliance issues limiting how much they can invest in private companies along with there being no proven path for most retail investors to own shares if the company were private.
Musk stated “Our investors are extremely important to me. Almost all have stuck with us from the time we went public in 2010 when we had no cars in production and only a vision of what we wanted to be. They believe strongly in our mission to advance sustainable energy and care deeply about our success.”
“After considering all of these factors, I met with Tesla’s Board of Directors yesterday and let them know that I believe the better path is for Tesla to remain public. The Board indicated that they agree.”
Musk also states of a reinforced belief of “more than enough funding” for the process if it were to go through with the company now having to stay focused on ramping Model 3 production and becoming profitable as financial sustainability stands as a major goal for the EV maker.
“Moving forward, we will continue to focus on what matters most: building products that people love and that make a difference to the shared future of life on Earth. We’ve shown that we can make great sustainable energy products, and we now need to show that we can be sustainably profitable. With all the progress we’ve made on Model 3, we’re positioned to do this, and that’s what the team and I are going to be putting all of our efforts toward.” said Musk.
