Elon Musk, Tesla and the Saudi connection

28 August, 2018, 18:11 | Author: Corey Lynch
  • What will Tesla's board of directors do about Elon Musk

Musk and Tesla are facing investor lawsuits and a US Securities and Exchange Commission investigation into the truthfulness of the CEO'S August 7 tweets, according to an August 8 report by the Wall Street Journal.

In his original tweet, Musk said he had "funding secured", and later revealed that statement was based on talks he held with the Saudi Arabian sovereign wealth fund about investing in Tesla.

In a blog post Friday, the billionaire entrepreneur declared "most of Tesla's existing shareholders believe we are better of as a public company". There is also no proven path for most retail investors to own shares if we were private.

Several analysts suggested that Mr Musk could be replaced as chief executive or that a chief operating officer may be hired to support him. Some analysts said the drama has damaged the credibility of both Musk and his board, and called for the company to bring in a top operations executive to help right the ship. Leaving ownership as is puts the scrutiny back on Musk's all-consuming work style, the company's tricky cash position, its ability to meet mass-market production goals, and the independence and oversight of Tesla's board.

VW is also the only other company set to rival Tesla in building a network of fast chargers, after it was ordered to spend $2 billion to build a fast-charge network across America as part of its court settlement related to diesel emissions cheating. A Tesla spokesman declined to comment. Several investors have also sued Tesla, alleging that Musk's announcement was meant to manipulate the price of the company's stock.

David Johnson, a managing partner at corporate restructuring firm Abraxas Group, told FOX Business that Musk had made a misstep firing the tweet off. Coffee noted that the SEC may feel as though these disclosures were deficient.

But the judge said shareholders failed to show that Tesla needed to be clearer that Model 3 production could fall short.

Last year, Tesla announced it was producing an electric semi truck capable of carrying cargo across the country without burning any fossil fuels. Musk said earlier this month the company's "default plan" would be to fund that expansion by borrowing money from Chinese banks.



Tottenham Hotspur embarrass Manchester United 3-0 at Old Trafford
Today the players left the pitch after losing at home and were applauded because they deserved it. The champions, the brand of football they're playing and that will hurt Man United supporters.

US, Mexico reach NAFTA deal as pressure turns to Canada
Trump's chief agricultural negotiator, Gregg Doud, said talks with Canada have been "really, really hard ". But as with many of Trump's declarations of victory, it's far from clear that this deal will be realized.

Amid praise for Trump, North Korea doubles down on criticism of Japan
The South Korean leader is due to visit Pyongyang next month for what will be his third meeting with Kim this year. He added: "In the meantime I would like to send my warmest regards and respect to Chairman Kim".

White House Flag Flies At Full Staff As Nation Honors John McCain
Upon notice of McCain's death, Trump tweeted, "My deepest sympathies and respect go out to the family of Senator John McCain ". The White House flag-lowering that lasted less than 48 hours breaks from precedent that it is lowered until burial.

YouTube star 'McSkillet' killed in head-on vehicle crash
According to a local news website , a crash happened on Thursday evening (Aug 23) in San Diego during the rush hour commute. Dominic Pizarro, 22, the woman's son, identified her as Aileen Pizarro , 43, and his sister as Aryana, the newspaper said .

Huge drop in stockpiles spurs oil prices higher
Despite the logistics changes, China , the largest Iranian oil buyer, has said it won't halt purchases as requested by the U.S. At the same time, concerns about global crude supply intensified with signs that US sanctions on Iran are curbing shipments.

Authorities Finds Smuggling Tunnel Under Arizona KFC | Sinaloa | Yuma | arizona
A search of Lopez's property, including the vacant building where the KFC was previously located, exposed the cross border tunnel. Officials believe the tunnel between San Luis, in Arizona, and San Luis Río Colorado, in Sonora, was used for smuggling drugs.

Smoke in Clark County to start clearing, but current conditions bad
The smoky pollution, even in Colorado, came from wildfires in British Columbia and the Cascade Mountains in the Northwest. The hazardous smog has been worse than in Beijing this week, where air quality levels are notoriously bad.

Samsung's Android Go Device Galaxy J4 Core Arrives on Geekbench
As of now, there is no lead on the release date of Galaxy J4 Core or other such Android Go device from the Korean OEM. This is also one of the biggest features of the phone after the bigger display, bigger storage and dual rear camera.

Elon Musk says changing the way he (over)works is not an option
Tesla has marketed its top-of-the-line models that boast head-snapping acceleration as having "Insane" and "Ludicrous" modes. He later said that meetings with Saudi Arabia's sovereign wealth fund had given him confidence to announce the news.