It looks like you're using an Ad Blocker.
Please white-list or disable AboveTopSecret.com in your ad-blocking tool.
Thank you.
Some features of ATS will be disabled while you continue to use an ad-blocker.
Saudi Arabia's sovereign wealth fund has acquired a significant position in Tesla shares, according to the Financial Times.
originally posted by: Edumakated
originally posted by: neo96
a reply to: Edumakated
And just where would that premium come from for a company asking their suppliers to give $$ back?
The new shareholders taking the company private. They have to buyout all the existing shares. To do so, they offer a premium over existing shares. Being private does not mean you don't have shareholders. It just means the public can't buy shares of the company.
For example, if Tesla is currently trading at say $250/share, the new shareholders will offer $300/share to buy out everyone. The money comes from new debt or cash from the new shareholders taking the company private.
originally posted by: FamCore
To be perfectly honest, I knew companies could go public, and could go bankrupt, but I didn't know a publicly-traded company could also go public (if the circumstances permitted). Now I realize how naive I was to never realize this.
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
originally posted by: amazing
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
Oh Tesla isn't going anywhere. Too successful. Save this post for a year or two from now and you'll see what I mean.
originally posted by: neo96
a reply to: Edumakated
But Tesla isn't Apple.
TSLA is trading at near $400 a share(over priced) for a company that has a -$1.9 billion dollar net revenue.
If I was a private equity firm?
I'd stay FAR away from Tesla.
originally posted by: CharlesT
originally posted by: Edumakated
originally posted by: neo96
a reply to: Edumakated
And just where would that premium come from for a company asking their suppliers to give $$ back?
The new shareholders taking the company private. They have to buyout all the existing shares. To do so, they offer a premium over existing shares. Being private does not mean you don't have shareholders. It just means the public can't buy shares of the company.
For example, if Tesla is currently trading at say $250/share, the new shareholders will offer $300/share to buy out everyone. The money comes from new debt or cash from the new shareholders taking the company private.
That's what happened with me and PETCO. I bought ? shares and held them for a year or so when the price was down the directors decided to sell all shares at a set price and although I did make a small profit on the takeover the stock price continued to climb after the buyout and the buyers made a killing on it. I don't trade at PETCO because of that screwing.
originally posted by: Edumakated
originally posted by: CharlesT
originally posted by: Edumakated
originally posted by: neo96
a reply to: Edumakated
And just where would that premium come from for a company asking their suppliers to give $$ back?
The new shareholders taking the company private. They have to buyout all the existing shares. To do so, they offer a premium over existing shares. Being private does not mean you don't have shareholders. It just means the public can't buy shares of the company.
For example, if Tesla is currently trading at say $250/share, the new shareholders will offer $300/share to buy out everyone. The money comes from new debt or cash from the new shareholders taking the company private.
That's what happened with me and PETCO. I bought ? shares and held them for a year or so when the price was down the directors decided to sell all shares at a set price and although I did make a small profit on the takeover the stock price continued to climb after the buyout and the buyers made a killing on it. I don't trade at PETCO because of that screwing.
Petco isn't public now. They got bought out by a private equity firm. So you made a profit on your shares in they buyout to take them private. The PE firm took over the company and still retains control.
The new shareholders will make their money back if the company is sold again or they choose to go public again. PE firms tend to look long term. They usually target companies they feel are undervalued, come in and make improvements to increase value, and then either sell or take the company public again to cash out.
originally posted by: CharlesT
originally posted by: Edumakated
originally posted by: CharlesT
originally posted by: Edumakated
originally posted by: neo96
a reply to: Edumakated
And just where would that premium come from for a company asking their suppliers to give $$ back?
The new shareholders taking the company private. They have to buyout all the existing shares. To do so, they offer a premium over existing shares. Being private does not mean you don't have shareholders. It just means the public can't buy shares of the company.
For example, if Tesla is currently trading at say $250/share, the new shareholders will offer $300/share to buy out everyone. The money comes from new debt or cash from the new shareholders taking the company private.
That's what happened with me and PETCO. I bought ? shares and held them for a year or so when the price was down the directors decided to sell all shares at a set price and although I did make a small profit on the takeover the stock price continued to climb after the buyout and the buyers made a killing on it. I don't trade at PETCO because of that screwing.
Petco isn't public now. They got bought out by a private equity firm. So you made a profit on your shares in they buyout to take them private. The PE firm took over the company and still retains control.
The new shareholders will make their money back if the company is sold again or they choose to go public again. PE firms tend to look long term. They usually target companies they feel are undervalued, come in and make improvements to increase value, and then either sell or take the company public again to cash out.
That was 15 years ago.
originally posted by: BrianFlanders
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
That's why I wouldn't buy any of these new cars that have everything tied into that "infotainment" garbage. People are used to buying cars and keeping them 15-20 years. If your climate control is tied into a touchscreen, good luck replacing that in ten years when it craps out and they don't make them anymore. Especially since they're all just different enough to where you'd have to buy exactly the right one for your vehicle.
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
originally posted by: Aazadan
originally posted by: BrianFlanders
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
That's why I wouldn't buy any of these new cars that have everything tied into that "infotainment" garbage. People are used to buying cars and keeping them 15-20 years. If your climate control is tied into a touchscreen, good luck replacing that in ten years when it craps out and they don't make them anymore. Especially since they're all just different enough to where you'd have to buy exactly the right one for your vehicle.
Not true. The average age of a car in the US is 11 years, the average length of ownership in the US is 7 years, and the average length of ownership of a new car is 4 years.
originally posted by: Jonjonj
originally posted by: amazing
originally posted by: bananashooter
I live near Silicon Valley and I see 100’s of Tesla’s, all I think is what’s going to happen to all of them when Tesla goes tits up. They probably will all be deactivated and “brick” and become worthless.
Oh Tesla isn't going anywhere. Too successful. Save this post for a year or two from now and you'll see what I mean.
I absolutely agree. There is a conspiracy here, and it will come out.
if they can't work out the flammable cars thing.
To be perfectly honest, I knew companies could go public, and could go bankrupt, but I didn't know a publicly-traded company could also go public (if the circumstances permitted). Now I realize how naive I was to never realize this.
originally posted by: neo96
Tesla stock jumping makes no sense.
If it does go private sharelholders are sol.