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Elon Musk's latest big idea is daring even by his standards: He wants to turn Tesla into a private company.He stunned investors on Tuesday with a tweet saying he had already lined up the funding, and he told employees that it would relieve the electric car company of the "enormous pressure" of Wall Street's expectations.In a letter to Tesla workers that was posted on the company's blog, Musk called his idea the "best path forward.""As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla, all of whom are shareholders," he wrote.He also said trading its stock publicly "means that there are large numbers of people who have the incentive to attack the company." Musk has complained repeatedly about short-sellers, who profit when Tesla stock drops.Musk, the CEO and largest shareholder, said on Twitter that the private funding valued Tesla at 0 per share. Tesla is already the most valuable automaker in the United States.The early afternoon tweet sent Tesla stock spiking by almost 9%. Trading in Tesla was halted for more than an hour before Tesla posted Musk's letter to employees on its blog. It finished up 11%, at 9.The stock had climbed slightly earlier in the day after the Financial Times reported that Saudi Arabia has quietly built a big stake in the company.At first, Tesla had declined comment on Musk's tweet, even as he casually engaged Twitter followers with more posts about his plans.Musk said that he hoped all current investors would stay with Tesla even if it went private. He said he would create a special fund to allow that. Fidelity, the investment firm, has such a fund for its stake in SpaceX, a separate private company also run by Musk.He pledged to hold on to his stake in the company, about 20%, no matter what. He said he was "super appreciative" of Tesla shareholders, and vowed to "ensure their prosperity in any scenario."Tesla has burned through cash while struggling to produce the Model 3, its lowest-priced electric car. That has driven the stock lower and raised concerns about whether Tesla will need to sell more shares to pay for expansion. Musk has insisted Tesla has no such need.Musk has also clashed repeatedly with critics, especially investors who have taken short positions on the stock, meaning they benefit when the price falls. He clashed with analysts on a contentious call after Tesla reported earnings three months ago.Gene Munster, managing partner at Loup Ventures and a top tech analyst, said the odds that Musk will take Tesla private were about one in three. But he said the idea made a certain amount of sense."Musk does not want to run a public company," Munster wrote on his website. "His mission for Tesla (to accelerate the globe's adoption of sustainable energy) is both grand and long-term, making it difficult to accommodate investors quarterly expectations."It would cost about billion to take Tesla private at 0 per share. Before Musk's tweet, Tesla had a market value of billion, already higher than that of General Motors or Ford, even though those companies are significantly larger and more profitable.In fact, Tesla has turned a narrow profit in only two quarters since it became a public company in 2010. Musk has vowed that the company will start turning a regular profit in the second half of this year.In a 2013 report, the SEC said companies can use social media outlets to announce important information, so long as they comply with regulations and "investors have been alerted about which social media will be used to disseminate such information."The SEC issued that report after Reed Hastings, the CEO of Netflix, used a Facebook post to congratulate Netflix's chief content officer on record-breaking viewership. Netflix stock moved higher as a result.Tesla said in a regulatory filing in 2013 that investors interested in keeping up with Tesla should follow Musk's account.The SEC declined comment on Musk's tweet.Musk has a history of outrageous behavior on Twitter.On April 1, amid rising market concerns about a cash crunch at Tesla, he tweeted an email announcing that Tesla would have to file for bankruptcy. The tweet was apparently an April Fool's joke.Musk also faced intense public criticism after he suggested in a tweet that one of the rescuers of the Thai soccer team trapped in a cave was a pedophile.He later deleted that tweet and apologized for that exchange, but at least one analyst suggested Musk needed to get off Twitter to restore investor confidence in the company.After Musk, the next largest shareholders in Tesla are the mutual fund giants T. Rowe Price and Fidelity, with stakes of more than 9% and 8%, respectively, according to Thomas Reuters Eikon.Scottish money manager Baillie Gifford, which recently urged Musk to focus less on tweeting and more on running the business, is the fourth-largest shareholder, with a nearly 8% stake. Chinese tech giant Tencent owns almost 5%.James Anderson, a Baillie Gifford fund manager who recently called out Musk's tweeting in an interview with Bloomberg, had no comment about Musk's tweets on Tuesday. Fidelity and T. Rowe Price also declined comment.— CNNMoney's Donna Borak contributed to this report.The-CNN-Wire 5277
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ESCONDIDO, Calif. (KGTV) - One of the two victims killed in a crash in Escondido Sunday night has been identified as 19-year-old Ana Lira.The crash occurred just before 11:30 p.m. on El Norte Parkway and Ash Street, according to Escondido police.A witness told 10News he believed a Dodge Charger ran a red light and collided with a Ford Mustang in the intersection.Police confirmed one of the cars ran a red light, but they could not confirm which car committed the violation.One person was ejected from the Mustang and landed in the front yard of a nearby home. That person was declared dead at the scene, and another person inside the Mustang was also killed in the crash.The Charger’s driver and another person from the Mustang were taken to the hospital with serious injuries.The crash forced police to close El Norte Parkway between Conway Drive and Fig Street. Ash Street was closed between Sheridan Avenue and Ball Avenue. All affected roads were reopened by 7:15 a.m. Monday.A GoFundMe has been set up in Lira's name. Click here to donate. 1061
ESCONDIDO, Calif. (KGTV) - A driver under the influence of a drug struck and injured a Caltrans worker on Interstate 15 in Escondido Thursday, the California Highway Patrol said.A Nissan Sentra driven by a 26-year-old man was headed south on the freeway south of 9th Ave. about 10 a.m. and struck the Caltrans-owned Dodge Ram truck which was stopped in the center divider near the HOV lane. Officers said the Nissan’s driver allowed his car to drift into the center divider.The Caltrans worker had moderate injuries. The Nissan’s driver complained of pain but refused treatment at the scene. One of his male passengers suffered major injuries; other had moderate injuries.CHP officers evaluated the Nissan driver and arrested him at the scene on suspicion of DUI. 776
Eleven lives abruptly ended on Saturday when a gunman stormed the Tree of Life Synagogue in Pittsburgh's historic Squirrel Hill neighborhood.On Sunday, Karl Williams, Allegheny County's chief medical examiner, released the victims' identities in a news conference.Among those killed were a pair of brothers and a married couple. The oldest was 97 years old, and the youngest 54."To the victims' families, to the victims' friends, we're here as a community of one for you," said Pittsburgh Mayor Bill Peduto. "We will be here to help you through this horrific episode. We'll get through this darkest day of Pittsburgh's history by working together." 656
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