Elon Musk tweets he may take Tesla private

Elon Musk tweet 'Am considering taking Tesla private at $420. Funding secured'

He claims Tesla is the most shorted stock "in the history of the stock market" and that going private would remove them from the narrative.

He tweeted minutes after it was reported that Saudi Arabia's sovereign wealth fund had taken a stake of up to 5pc in Tesla, a holding worth as much as $2.9bn (£2.2bn).

Musk said he has no intention of combining the electric auto maker and the private space company under one umbrella.

Mr. Musk's account tweeted: "Am considering taking Tesla private at $420". Such backers begged Musk on Twitter to be allowed to keep their shares, and Musk assured them that they could. Musk explicitly notes that he does not intend to merge Tesla and SpaceX, and that the two companies will remain separate, even though the private-shareholder structure would be similar.

Gene Munster, the managing partner of Loup Ventures, said Tuesday that that he estimated "there is a 1 in 3 chance he can actually pull this off and bring Tesla private" because the higher share price "may not be high enough to incentivize existing shareholders to support the sale". Prices seesawed in the range of $360 to $370, a roughly 7 to 8 percent rise for the day, while investors tried to decide whether Musk was joking.

Tesla shares closed up 11 percent at $379.57, slightly below their all-time high.

Apple hits $1 trillion market cap
Other companies have come close to the mark, but no public United States company has hit a $1 trillion valuation. Those earnings beat Wall Street expectations on the top and bottom lines, but iPhone sales fell slightly short.

Tesla CEO Elon Musk's discussion of privatizing the company's shares sparked a seesaw in prices before trading was suspended. The higher the price, the less likely it is that Tesla will have to repay those loans. He goes on to mention the quarterly earnings cycle and how that puts pressure on the company to focus on moves that would boost quarterly numbers while disregarding longer-term motives and outcomes.

"I can't believe this is something to bluff or make fun of".

In an interview with Bloomberg News in January 2015, he spoke of the benefits of running his closely held rocket company Space Exploration Technologies Corp. and his frustrations with having taken Tesla public in June 2010. SpaceX is a flawless example: it is far more operationally efficient, and that is largely due to the fact that it is privately held.

We reached out to Tesla to find out what this all means and will update when we hear more.

The company did not immediately respond to requests for comment.

"The reason for doing this is all about creating the environment for Tesla to operate best", Musk, 47, wrote in an email to employees.

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