Elon Musk: Meeting with Saudis prompted plan to take Tesla private
© Getty

Elon Musk said Monday that a meeting last month with Saudi Arabia’s sovereign wealth fund prompted his desire to take Tesla private.

Musk wrote in a post on Tesla’s website that he met with the Saudi Arabian sovereign wealth fund on July 31, when the managing director of the fund “strongly expressed his support for funding a going private transaction for Tesla.” Musk wrote that he left the meeting with “no question” that a deal could be closed with the Saudi fund to take Tesla private.

That meeting inspired Musk’s “funding secured” tweet last week that said he was “considering taking Tesla private” at $420 a share, he wrote.

ADVERTISEMENT

Musk also wrote that Saudi Arabia had approached him “multiple times” over the past two years expressing interest in funding taking Tesla private. Musk said he has continued to communicate with the sovereign fund’s managing director since last week, and that the managing director has “expressed support for proceeding subject to financial and other due diligence.”

Musk wrote in an internal letter last week that he would like to restructure Tesla in the image of SpaceX, his commercial space company, by giving Tesla employees company shares and allowing them to buy or sell them.

"Basically, I’m trying to accomplish an outcome where Tesla can operate at its best, free from as much distraction and short-term thinking as possible, and where there is as little change for all of our investors, including all of our employees, as possible," Musk wrote.