Tesla’s privatisation deal — Does it make sense?

This post first appeared on 16 Aug 2018 in my blog, Epihmsia.

https://epihmsia.wordpress.com/2018/08/16/teslas-82bn-privatisation-deal-does-it-make-sense/

I am sure many of us have heard of the recent news on Elon Musk’s plans to privatise Tesla with at $420 per share here. This is an interesting topic to me — privatisation. Why do companies privatise? What are their motives? What kind of value do shareholders get from such an exercise? What are the pros and cons of being a public and private company? In this post, I will…