Friday, 05 October 2018 10:55

Musk is Already Taunting the SEC on Twitter

(Los Angeles)

In a turn of events that stretches the boundaries of our understanding, Elon Musk took to Twitter yesterday to mock the SEC. The move comes in the same week that the CEO agreed to settle a suit with the regulator over his misleading tweets this summer. Musk tweeted yesterday afternoon that “Just want to [say] that the Shortseller Enrichment Commission is doing incredible work … And the name change is so on point!”. Legal experts say the tweets jeopardize his potential settlement the SEC as they violate specific clauses of the agreement.


FINSUM: We know he is a defiant character, but this kind of behavior seems to show extremely poor judgment, if not borderline mental instability.

Published in Eq: Tech
Monday, 01 October 2018 10:48

Tesla and Musk’s Big Shift

(Los Angeles)

Another tumultuous week for Tesla is in the books, but for the first time in a while, it looks the company may be headed in a positive direction. Last week, the SEC sued Elon Musk for fraud based on his tweets about taking the company private, which sent the stock plunging. However, on Saturday, it was announced that Musk had reached a settlement with the regulator, agreeing to give up his chairmanship of the board, in addition to a $20m fine, but remaining CEO. This news sent the stock soaring in pre-market trading.


FINSUM: This seems like a better operational and governance structure for Tesla and we hope it will prove a positive development.

Published in Eq: Tech
Friday, 28 September 2018 10:34

SEC Charge May Sweep Musk Out of Tesla

(Los Angeles)

Tesla investors got some grim news yesterday (unless you are the group hoping for Musk’s departure). That news is that the SEC is suing Elon Musk for fraud and is seeking to have him removed as the leader of Tesla. The suit seeks to have Musk banned from serving as an officer or director of a public company. The basis for the suit is the series of tweets Musk made regarding taking the company private, which the SEC says were “false and misleading statements”.


FINSUM: This is a pretty serious move from the SEC, made worse by news out today that Musk chose the price of $420 as a marijuana reference to impress his girlfriend.

Published in Eq: Tech
Thursday, 20 September 2018 07:34

The DOJ is Now Investigating Tesla

(New York)

While the SEC seems to have largely shrank from the limelight surrounding its investigation of Tesla, there is news on that front, and in a big way. The DOJ is now investigating Tesla, and specifically, it has launched a criminal investigation into Elon Musk’s now infamous tweet about taking the company private. The investigation sits alongside a civil inquiry by the SEC. Tesla said it had received a “voluntary request” for documents but that there was no “subpoena, a request for testimony, or any other formal process”.


FINSUM: Hard to see where this may go, but we imagine it could turn into a big headache (and distraction) for Musk and the company, as well as its shareholders.

Published in Eq: Large Cap
Monday, 27 August 2018 08:40

Musk Says Tesla Staying Public

(Los Angeles)

The saga of the Tesla buyout is finally over after three agonizing weeks. Musk announced Friday that Tesla had put its plans to go private permanently on hold. The Wall Street Journal has run a long article chronicling the internal decision-making process, but ultimately Musk and the board decided it as not an optimal decision, not least because keeping small investors on board wouldn’t have been an option and Tesla would have had to bring on competitors as investors. The stock dropped on the news.


FINSUM: If what we read is correct, Musk did not want Volkswagen to be an investor in the company. That, combined with the Saudis backing away, seems to have been a big part of staying public.

Published in Eq: Large Cap
Page 1 of 12

Contact Us

Newsletter

Subscribe

Subscribe to our daily newsletter

Top
We use cookies to improve our website. By continuing to use this website, you are giving consent to cookies being used. More details…