INTERNATIONAL - Tesla Inc's chief executive Elon Musk tweeted on Monday that he was working with buyout firm Silver Lake and investment bank Goldman Sachs Group as financial advisers on his plan to take the US electric carmaker private.
The announcement represents the latest effort by Musk to add credibility to his proposed $72 billion (R1.01 trillion) deal for Tesla, following his tweet last week that funding for it was “secured”.
That earlier tweet has triggered investor lawsuits as well as an investigation by the US Securities and Exchange Commission into the accuracy of his statement.
Musk also posted in a blog on Monday his most detailed vision yet as to how a Tesla take-private deal could work, but shares in the car-maker ended flat, indicating investor skepticism over its feasibility.
A source familiar with the matter said Silver Lake was offering its assistance to Musk in his exploration of a deal without compensation, and had not been hired as a financial adviser in an official capacity.
The firm is known for putting together leveraged buyouts in the technology sector rather than providing investment banking advice.
Moreover, Silver Lake, which contributed $1.4 billion in equity to Michael Dell’s deal in 2013 to take the eponymous computer maker private, is not currently discussing participating in the potential Tesla deal as an investor, the source added.
Silver Lake and Goldman Sachs declined to comment.
Musk shocked markets last week with the tweeted announcement that he was considering taking Tesla private for $420 a share.
At 10:30, Tesla shares were trading at $356.41.