Musk appears to be headed into Howard Hughes territory.

Whatever "secured" funding he was planning is not likely to be secured now, not with his "mugshot" popping up on TV.

Tesla chief Elon Musk imploding?


https://www.foxbusiness.com/bu...-elon-musk-imploding

What a clusterf#%k. I'd be surprised if the lawsuits have not been filed already.


"Staying Public
Elon Musk August 24, 2018

Earlier this month, I announced that I was considering taking Tesla private. As part of the process, it was important to understand whether our current investors believed this would be a good strategic move and whether they would want to participate in a private Tesla.

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.

I worked with Silver Lake, Goldman Sachs and Morgan Stanley, who have world-class expertise in these matters, to consider the many factors that would come into play in taking Tesla private, and to process all the incoming interest that we received from investors to fund a go-private transaction. I also spent considerable time listening to current shareholders, large and small, to understand what they think would be in the best long-term interests of Tesla.

Based on all the discussions that have taken place over the last couple of weeks and a thorough consideration of what is best for the company, a few things are clear to me:

Given the feedback I’ve received, it’s apparent that most of Tesla’s existing shareholders believe we are better off as a public company. Additionally, a number of institutional shareholders have explained that they have internal compliance issues that limit how much they can invest in a private company. There is also no proven path for most retail investors to own shares if we were private. Although the majority of shareholders I spoke to 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. This is a problem because we absolutely must stay focused on ramping Model 3 and becoming profitable. We will not achieve our mission of advancing sustainable energy unless we are also financially sustainable.
That said, my belief that there is more than enough funding to take Tesla private was reinforced during this process.
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.

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.

Thank you to all of our investors, customers and employees for the support you’ve given our company. I’m incredibly excited to continue leading Tesla as a public company. It is a privilege."

Monorail!

Can we stop giving taxpayer money to this clown?

quote:

Originally posted by jdmb03:
Can we stop giving taxpayer money to this clown?

How did this knucklehead con the government out of our money in the first place?

quote:

Originally posted by roberth:

quote:

Originally posted by jdmb03:
Can we stop giving taxpayer money to this clown?

How did this knucklehead con the government out of our money in the first place?

"Mr Obama, I can produce electric cars and solar panels which will put the oil companies out of business and stop global warming. Wanna hear the details?"

"Shut up and take the public's money!"

"This will also be very lucrative for you, your cronies, the socialist party of America, though it will also help ruin America's economy."

"I'm listening, tell me more... No wait, shut up and take MORE of the public's money. "

And that friends is how Musk got so much of our money.

He's 6'1" and a half lmao

Reuters reported today.......Interesting read about dissection of possible sources for more cash do not look good.


Elon Musk's take-private plans for Tesla have evaporated, but the company's looming debt needs remain.



With a debt load of about $10.5 billion and the possibility of an impending cash shortfall, Wall Street expects the luxury electric car maker might need to raise funds before long.

Tesla chief executive Musk said late Friday he will heed shareholder concerns and no longer pursue a $72 billion take-private deal, abandoning an idea that stunned investors and may draw regulatory scrutiny.

None of that has done anything to help it with a looming issue: cash.

Tesla, which has had just one quarter of positive free cash flow since the fourth quarter of 2013, has $1.3 billion in debt coming due in the next 12 months. Meanwhile it has just $1.3 billion of cash on hand after backing out $942 million of customer deposits on cars.

With analysts forecasting a slowed, but continued, cash burn in the second half of 2018, Tesla may need to borrow up to $2 billion by the end of the year to stay afloat.

In response to a request for comment, a Tesla representative referred to Musk's statement on the company's second-quarter earnings call when he said the company planned to pay its convertible debt with internally generated cash flow.

DEBT RAISING

The most likely option, according to analysts, is a convertible debt issue. Musk has historically favored convertible bonds to raise capital, and Tesla and its SolarCity unit each have three issues of convertible senior notes, worth a total of $4.2 billion.

Convertibles give owners the right to trade their debt for equity after shares rise over a certain price. They allow holders to benefit from a rising share price, while also offering bond-like protection if it falls.

The one challenge of using more convertible debt, however, is "that it drives more short sellers to your stock. And Musk does not want that," said Jeffrey Osborne, senior research analyst, Cowen Inc.

Frequently, convertible bond owners will hedge their positions by selling the underlying stock short. Moreover, the dilution caused by conversion could also pressure a stock, drawing the interest of short sellers.

Of the $1.3 billion Tesla has coming due in the next 12 months, $230 million is from a SolarCity convertible due on Nov. 1, and another $920 million from a Tesla convertible due on March 1, 2019. Tesla's shares, at $319.27, are a long way from the $560.64 needed to convert the SolarCity debt but have traded above the $359.87 March 2019 debt conversion price.

Musk could also choose to offer convertible bond investors the opportunity to exchange their debt for equity below either or both strike prices, although that could require some assurances on the company's fundamentals.

STRAIGHT DEBT

Tesla could issue straight debt akin to the 5.3 percent coupon junk bond coming due in 2025. That bond however, is trading well below par at 87.13 cents on the dollar, and so it would be unlikely that Tesla could get the sort of favorable terms they secured in their last offering.

Krishna Memani, chief investment officer of OppenheimerFunds, which is among Tesla's top 10 bondholders, said that the level of scrutiny Musk would have to go through "would be meaningfully higher in any new issuance."

EQUITY

Equity markets have historically been friendly to Tesla, however Musk said, on the company's second-quarter earnings call, that he would not tap them for cash. "We'll not be raising any equity at any point... I have no expectation of doing so; do not plan to do so."

The Securities and Exchange Commission has opened an investigation into Musk for potentially misleading investors when he tweeted that he had "funding secured" for a $420 a share take-private deal, according to media reports.

LEASE/ASSET-BACKED SECURITY DEAL

Tesla could securitize automotive leases backed by drivers' monthly payments as it did earlier this year when it sold $546 million of bonds backed by leases on Model S and Model X cars.

There are two problems with issuing new asset-backed securities.

The first is that old vehicles may not sell for as much as expected given the increasing competition Tesla is facing in the electric vehicle space. Second, leases as a percentage of vehicles sold have fallen dramatically as it is not possible to lease a Model 3 sedan. While roughly 20 percent to 30 percent of Model S and Model Xs were leased, the Model 3 must be paid for in cash.

END of Reuters article

My comment - Looks like they may be running out of runway, gas, altitude and ideas all at the same time.

P.T. Barnum was right.

Maybe he will go to Burning Man and disappear.

He'll make your money disappear.

quote:

Originally posted by parabellum:
He'll make your money disappear.

That's no great trick. I didn't have much to start with.

Teslas Musk hits new High...

Not the stock, Musk, who took a hit on a blunt in Joe Rogans studio and drank whiskey in an odd interview with some strange questions...

Hey Mon, here de link



His CAO and VP of Communications also resigned..

Watching the podcast now. I still find the guy fascinating.

http://podcasts.joerogan.net/podcasts/elon-musk

He may be going up in smoke

With my tax money

Fuckin' fruitcake. I wouldn't trust him with one single penny of my money. Freakin' whackjob.

How does someone like this get the money?