Shulou(Shulou.com)11/24 Report--

According to news on the morning of January 24, Beijing time, Tesla CEO Elon Musk (Elon Musk) told a federal court in San Francisco today that he could have sold SpaceX shares to support Tesla's privatization plan proposed in 2018.

On Monday, local time, the trial of "Tesla privatization copy" entered its second day. The class action case began in August 2018, when Mr Musk announced on Twitter that he was considering taking Tesla private at $420 a share. Musk also said at the time that privatisation funds were secured and supported by PIF, the Saudi sovereign wealth fund, and that corporate investors supported the decision.

The news pushed Tesla's share price up about 13% at one point on the day, when Tesla's share price closed at $379.57. But then, with the reversal of the situation, Tesla's share price declined all the way. To this end, Tesla investors launched a class action, alleging that Musk issued a false or misleading statement.

At today's trial, Musk said he said he had "secured funding for this potential deal" and that there was another reason: he could also sell shares in SpaceX to finance the deal. SpaceX is a space exploration technology company owned by Musk, with Musk as CEO and its largest shareholder.

"SpaceX shares themselves mean that this potential deal is financially secure," Mr Musk said in court. "of course, that doesn't mean I want to sell SpaceX shares, but I can do that. Look at the Twitter deal, that's what I did. I sold Tesla's shares to complete the acquisition of Twitter. It was the same at the time."

But Mr Musk did not say how many shares in SpaceX he would sell, to whom, and at what price, to fund Tesla's privatisation.

At the trial, Nicholas L. Porritt, a lawyer representing plaintiff shareholders, asked Musk if he was joking about the $420-a-share price for the privatisation of Tesla, which in popular culture means marijuana (April 20 is International marijuana Day). Mr Musk insists it is a complete coincidence.

Due to a variety of resistance, Musk announced in late August 2018 to abandon Tesla privatization plan. Musk said at the time that privatization took more time and energy than initially expected, and that most of Tesla's shareholders believed that Tesla's status as a listed company should be maintained.

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