>>> WELCOME BACK TO "VELSHI &amp;
>>> WELCOME BACK TO "VELSHI &amp; RUHLE."
RUHLE." ELON MUCHK
ELON MUCHK ELON
ELON ELON MUSSK
ELON MUSSK ELON MUSK SET OFF A FLURY.
ELON MUSK SET OFF A FLURY. I’M CONSIDERING TAKING TESLA
I’M CONSIDERING TAKING TESLA PRIVATE AT $420.
PRIVATE AT $420. FUNDING SECURED.
FUNDING SECURED. THIS SINGLE TWEET CAUSED SHARES
THIS SINGLE TWEET CAUSED SHARES TO SPIKE UP 11% BY THE END OF
TO SPIKE UP 11% BY THE END OF THE DAY.
THE DAY. THIS STOCK HAS A WHOLE LOT OF
THIS STOCK HAS A WHOLE LOT OF SHORT SELLERS.
SHORT SELLERS. SOMETHING LIKE THAT HURTS.
SOMETHING LIKE THAT HURTS. CRYPTIC ANNOUNCEMENT CAME AFTER
CRYPTIC ANNOUNCEMENT CAME AFTER AN EXCLUSIVE REPORT FROM THE
AN EXCLUSIVE REPORT FROM THE FINAL TIMES WHICH REVEALED A NEW
FINAL TIMES WHICH REVEALED A NEW CONNECTION BETWEEN THE ELECTRIC
CONNECTION BETWEEN THE ELECTRIC CAR COMPANY AND THE SAUDI ARABIA
CAR COMPANY AND THE SAUDI ARABIA GOVERNMENT.
GOVERNMENT. THE PUBLIC INVESTMENT FUND HAS
THE PUBLIC INVESTMENT FUND HAS QUIETLY ACCUMULATED A STAKE OF
QUIETLY ACCUMULATED A STAKE OF BETWEEN 3% AND 5% THIS YEAR IN
BETWEEN 3% AND 5% THIS YEAR IN THE COMPANY MAKING IT TESLA’S
THE COMPANY MAKING IT TESLA’S LARGEST SINGLE PUBLIC INVESTOR.
LARGEST SINGLE PUBLIC INVESTOR. THERE ARE HUGE LEGAL AND
THERE ARE HUGE LEGAL AND TECHNICAL COMPLEXITIES AND IF HE
TECHNICAL COMPLEXITIES AND IF HE IS SERIOUS ABOUT GOING PRIVATE,
IS SERIOUS ABOUT GOING PRIVATE, IT IS HIGHLY UNUSUAL TO SIMPLY
IT IS HIGHLY UNUSUAL TO SIMPLY THROW OUT A TWEET LIKE THAT.
THROW OUT A TWEET LIKE THAT. BUT, IF NOTHING COMES OF THIS,
BUT, IF NOTHING COMES OF THIS, IF THERE IS NO DEAL AND IT WAS
IF THERE IS NO DEAL AND IT WAS JUST A REACTIONARY TWEET IN
JUST A REACTIONARY TWEET IN RESPONSE TO CRITICS, WHICH YOU
RESPONSE TO CRITICS, WHICH YOU KNOW HE IS HYPER SENSITIVE OF,
KNOW HE IS HYPER SENSITIVE OF, THEN HE COULD BE FACING SOME
THEN HE COULD BE FACING SOME VERY SERIOUS PENALTIES FOR
VERY SERIOUS PENALTIES FOR MAKING PUBLIC STATEMENTS THAT
MAKING PUBLIC STATEMENTS THAT WERE UNTRUE AND DRASTICALLY
WERE UNTRUE AND DRASTICALLY MOVED THE MARKET. THAT’S THE
MOVED THE MARKET. THAT’S THE KIND OF BEHAVIOR SPECIFICALLY
KIND OF BEHAVIOR SPECIFICALLY THAT THE SEC INVESTIGATES.
THAT THE SEC INVESTIGATES. >> JOINING ME NOW -- THE SAUDI
>> JOINING ME NOW -- THE SAUDI STAKE IS BIG.
STAKE IS BIG. FROM YOUR REPORTING IS THERE ANY
FROM YOUR REPORTING IS THERE ANY SIGN THAT THEY WOULD WANT TO GO
SIGN THAT THEY WOULD WANT TO GO FURTHER AND BE THAT BUYER TO
FURTHER AND BE THAT BUYER TO TAKE THE COMPANY PUBLIC?
TAKE THE COMPANY PUBLIC? >> WELL, WE DON’T THINK THEY
>> WELL, WE DON’T THINK THEY WOULD GO FOR THE WHOLE $70
WOULD GO FOR THE WHOLE $70 BILLION HE’S POSSIBLY GOT TO
BILLION HE’S POSSIBLY GOT TO RAISE TO GET THIS DEAL DONE.
RAISE TO GET THIS DEAL DONE. IF IT HE INTENDS TO.
IF IT HE INTENDS TO. BUT BEFORE AMASSING IT, THEY
BUT BEFORE AMASSING IT, THEY CONTACTED MUSK ABOUT DOING AN
CONTACTED MUSK ABOUT DOING AN INVESTMENT, KIND OF RAISING
INVESTMENT, KIND OF RAISING MONEY, ISSUING MORE STOCK.
MONEY, ISSUING MORE STOCK. HE WAS AGAINST IT AND TURNED
HE WAS AGAINST IT AND TURNED THEM AWAY.
THEM AWAY. THEN THEY GOT THE HELP OF JP
THEN THEY GOT THE HELP OF JP MORGAN TO KIND OF BUY THE STOCK
MORGAN TO KIND OF BUY THE STOCK OVER THE COURSE OF A YEAR.
OVER THE COURSE OF A YEAR. BUT $70 BILLION.
BUT $70 BILLION. HOW DOES THAT MAKE SENSE?
HOW DOES THAT MAKE SENSE? THIS IS A COMPANY WITH PROBLEMS
THIS IS A COMPANY WITH PROBLEMS WITH THE MODEL 3.
WITH THE MODEL 3. NEGATIVE.
NEGATIVE. WHO WOULD WANT TO DO SOMETHING
WHO WOULD WANT TO DO SOMETHING LIKE THAT?
LIKE THAT? THE BOARD COULD SAY WELL HE
THE BOARD COULD SAY WELL HE MENTIONED IT LAST WEEK.
MENTIONED IT LAST WEEK. MENTIONING SOMETHING LAST WEEK
MENTIONING SOMETHING LAST WEEK AND ACTUALLY HAVING A STRATEGIC
AND ACTUALLY HAVING A STRATEGIC PLAN ARE TWO VERY DIFFERENT
PLAN ARE TWO VERY DIFFERENT THINGS.
THINGS. I COULD SAY GEORGE CLOONEY WANTS
I COULD SAY GEORGE CLOONEY WANTS TO DATE ME.
TO DATE ME. IT MEANS NOTHING.
IT MEANS NOTHING. >> YOU’RE ABSOLUTELY RIGHT.
>> YOU’RE ABSOLUTELY RIGHT. >> WAIT.
>> WAIT. SO YOU THINK HE’S NOT.
SO YOU THINK HE’S NOT. >> I DIDN’T SAY THAT.
>> I DIDN’T SAY THAT. >> YOU JUST SAID YOU’RE
>> YOU JUST SAID YOU’RE ABSOLUTELY RIGHT.
ABSOLUTELY RIGHT. >> SAYING BASICALLY HE’S KIND OF
>> SAYING BASICALLY HE’S KIND OF THE GUY HAS NOT REALLY BEEN VERY
THE GUY HAS NOT REALLY BEEN VERY CLEAR AT ALL ABOUT HIS PLAN.
CLEAR AT ALL ABOUT HIS PLAN. BOARD TODAY SAID HE KIND OF
BOARD TODAY SAID HE KIND OF FLOATED THE IDEA TO THEM.
FLOATED THE IDEA TO THEM. BUT IN THE TWEET HE MENTIONED.
BUT IN THE TWEET HE MENTIONED. HE SAID I’VE SECURED THE
HE SAID I’VE SECURED THE FINANCING.
FINANCING. THAT INDICATED THIS WAS A DONE
THAT INDICATED THIS WAS A DONE THING.
THING. >> BUT HOW IS THAT EVEN LEGAL?
>> BUT HOW IS THAT EVEN LEGAL? WHEN YOU SAY HE WASN’T EXACTLY
WHEN YOU SAY HE WASN’T EXACTLY CLEAR, HE WASN’T EXACTLY CLEAR.
CLEAR, HE WASN’T EXACTLY CLEAR. AND IT CAUSED THE STOCK TO SPIKE
AND IT CAUSED THE STOCK TO SPIKE 11%.
11%. WHEN A CEO OF A PUB YOU CANLICLY
WHEN A CEO OF A PUB YOU CANLICLY COMPANY, IT’S VETTED AND RUN
COMPANY, IT’S VETTED AND RUN THROUGH THE COMPLIANCE
THROUGH THE COMPLIANCE DEPARTMENT.
DEPARTMENT. >> AT THE BEGINNING EVERYBODY
>> AT THE BEGINNING EVERYBODY THOUGHT THIS WAS A PRANK.
THOUGHT THIS WAS A PRANK. WE YOU CAN’T JOKE ABOUT A PUBLIC
WE YOU CAN’T JOKE ABOUT A PUBLIC COMPANY.
COMPANY. IT’S LIKE PENSION FUNDS, PEOPLE
IT’S LIKE PENSION FUNDS, PEOPLE WHO PUT THE SAVINGS IN THIS
WHO PUT THE SAVINGS IN THIS COMPANY.
COMPANY. >> ONE OF THE LARGEST INVESTORS
>> ONE OF THE LARGEST INVESTORS IS FIDELITY ACTIVELY MANAGED.
IS FIDELITY ACTIVELY MANAGED. THEY’RE NOT RAISING THEIR HANDS
THEY’RE NOT RAISING THEIR HANDS SAYING WHAT GIVES?
SAYING WHAT GIVES? I KNOW ELON MUSK HAS MADE THEM A
I KNOW ELON MUSK HAS MADE THEM A TON OF MONEY BUT GIVE ME A
TON OF MONEY BUT GIVE ME A BREAK.
BREAK. >> THE STOCK WENT UP SO NOBODY’S
>> THE STOCK WENT UP SO NOBODY’S PROBABLY GOING TO COMPLAIN RIGHT
PROBABLY GOING TO COMPLAIN RIGHT AWAY.
AWAY. YOU’VE GOT TO BELIEVE THAT THE
YOU’VE GOT TO BELIEVE THAT THE SCHL E KR.
SCHL E KR. IS LOOKING INTO THIS.
IS LOOKING INTO THIS. THEY HAVEN’T PUT A STATEMENT
THEY HAVEN’T PUT A STATEMENT OUT.
OUT. BUT THERE’S NO WAY THIS CAN -- I
BUT THERE’S NO WAY THIS CAN -- I MEAN WE DON’T WANT TO SPECULATE
MEAN WE DON’T WANT TO SPECULATE BUT THIS CAN’T REALLY GO UNDER
BUT THIS CAN’T REALLY GO UNDER THE RADAR.
THE RADAR. >> BUT YOU CAN’T -- WE CAN SPEAK
>> BUT YOU CAN’T -- WE CAN SPEAK TO ELON MUSK AND THE TYPE OF
TO ELON MUSK AND THE TYPE OF PERSON HE IS.
PERSON HE IS. THIS YEAR, HE HAS GONE OUT,
THIS YEAR, HE HAS GONE OUT, PUSHED AGAINST WALL STREET
PUSHED AGAINST WALL STREET ANALYSTS, ATTACKED NOT
ANALYSTS, ATTACKED NOT PHYSICALLY, BUT GONE AFTER
PHYSICALLY, BUT GONE AFTER JOURNALISTS.
JOURNALISTS. HE IS ALMOST OBSESSED WITH SHORT
HE IS ALMOST OBSESSED WITH SHORT SELLERS IN THE SAME KIND OF
SELLERS IN THE SAME KIND OF OBSESSION THE PRESIDENT HAS
OBSESSION THE PRESIDENT HAS AGAINST HIS CRITICS.
AGAINST HIS CRITICS. WE’RE NOT TALKING ABOUT THE
WE’RE NOT TALKING ABOUT THE AVERAGE CEO HERE.
AVERAGE CEO HERE. >> ABSOLUTELY.
>> ABSOLUTELY. THE SHORT SELLERS COULD LOSE UP
THE SHORT SELLERS COULD LOSE UP TO $4 BILLION OUT OF THIS WHOLE
TO $4 BILLION OUT OF THIS WHOLE MANEUVER.
MANEUVER. I MEAN, AGAIN, YOU’D EXPECT
I MEAN, AGAIN, YOU’D EXPECT THESE GUYS GETTING READY TO SUE
THESE GUYS GETTING READY TO SUE THE HELL OUT OF HIM BECAUSE IT
THE HELL OUT OF HIM BECAUSE IT IS KIND OF SUSPICIOUS, AND
IS KIND OF SUSPICIOUS, AND THERE’S DEFINITELY NO SET
THERE’S DEFINITELY NO SET PROPOSAL.
PROPOSAL. THE BOARD HASN’T SET UP A
THE BOARD HASN’T SET UP A COMMITTEE TO REVIEW ANYTHING.
COMMITTEE TO REVIEW ANYTHING. HE SAID WE JUST NEED THE
HE SAID WE JUST NEED THE SHAREHOLDERS TO VOTE.
SHAREHOLDERS TO VOTE. VOTE ON WHAT?
VOTE ON WHAT? WE DON’T HAVE A PLAN.
WE DON’T HAVE A PLAN. >> HOW INDEPENDENT IS THIS
>> HOW INDEPENDENT IS THIS BOARD?
BOARD? IS.
IS. >> NOT VERY.
>> NOT VERY. THERE’S QUESTION MARKS.
THERE’S QUESTION MARKS. HE’S DONE OTHER DEALS IN THE
HE’S DONE OTHER DEALS IN THE PAST WHICH WERE RUBBER STAMPED.
PAST WHICH WERE RUBBER STAMPED. >> BROTHER IS ON THE BOARD.
>> BROTHER IS ON THE BOARD. >> ABSOLUTELY.
>> ABSOLUTELY. SAYS IT ALL, RIGHT?
SAYS IT ALL, RIGHT? BUT THE QUESTION IS --
BUT THE QUESTION IS -- >> HIS BROTHER’S ON THE BOARD.
>> HIS BROTHER’S ON THE BOARD. INDEPENDENT BOARD OF DIRECTORS.
INDEPENDENT BOARD OF DIRECTORS. HIS BROTHER.
HIS BROTHER. >> CORRECT.
>> CORRECT. SO WE’LL HAVE TO SEE.
SO WE’LL HAVE TO SEE. THIS IS NOT GOING TO BE A SMOOTH
