Tesla Another Huge Loss But Higher Revenue, Model 3 Production

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WSJ reporting the SEC has inquired with Tesla about Elon Musk’s announcement that he may take the company private and whether his claim was factual.

The regulator also asked why the disclosure was made on the social network rather than in a regulatory filing, and whether the firm believes the announcement
complies with investor-protection rules.

One potential problem is that merely the intent of a “going private” transaction, triggers rule 13E-3, which requires the company to file a Schedule 13E-3 with the SEC
as well as furnish the required disclosures to the company’s shareholders. Note: the rule is triggered even if the intent to go private is ultimately unsuccessful.