4 ms·

TSLA up 7% on announcement, high of $370.79 If you're a short seller, beware the "squeeze." If you're not a short seller, this article can be an amusing read:

• belltaco 8y ago
  That was the previous high it hit before it was halted for this news to come out. Trading is now scheduled to re-open in 6 minutes (3:45 PM EST). Going to be a very interesting 15 minutes before the market closes for the day.
  • bspn 8y ago
    Wow, look at it go on re-open
• dunpeal 8y ago
  If you're a heavy TSLA short-seller, you're already in deep trouble, unless this falls through very quickly. There will be margin calls. Welcome to the losing side of short-selling.
  • eanzenberg 8y ago
    It only falls if Elon is bluffing. He’s guaranteed $420 / share.
    • dunpeal 8y ago
      Lots of things can go wrong with a deal this size, but yes, unless he's bluffing, this most likely will happen.
      • sulam 8y ago
        He has to find financing. There’s not that many entities that can finance a deal of this magnitude.
        • dunpeal 8y ago
          Of course, but everything he says implies he has the funding. Announcing this before funding is in place (the most crucial piece of this puzzle) would be incredibly irresponsible.
          • eanzenberg 8y ago
            And yet here we are, from Elon "You're a Pedo" Musk.
        • samstave 8y ago
          I wonder who Elon has been having dinner with over the last weeks/months... I am sure hes already been lining up those who would want to do something - and it should be a clear sign about the Saudi position that was announced... Basically, he's likely got House of Saud involved as they are flamboyant gamblers and would love to be associated with this if it succeeds, because the fame of this is worth more to them than the money at this point... so I am sure he already has the major financing arranged.
    • filmgirlcw 8y ago
      He’s not guaranteeing anything. He hasn’t mentioned financing to do this, and it’s not a small amount of money to raise. Shareholder approval isn’t a given either. It’s probable that he’d get the votes if he showed the financing necessary for a $420 stock price, but it’s not a guarantee.
      • eanzenberg 8y ago
        That's why I wrote "bluffing." If he is the shorts will come out way ahead as tesla goes below 200.
      • nopriorarrests 8y ago
        If can demonstrate guaranteed financing for this deal from outside investors at $420/share, then he just tweeted material news about his company, and he had all the rights to do so. If he can't prove guaranteed financing for this deal, that's securities fraud and SEC investigation is the next step of this drama. Imagine... well, SNAP CEO tweeting "Some rich folks are going to take us private at $50 per share lmao ayee, cover your shorts". This is a market manipulation.
  • belltaco 8y ago
    Any experienced non-retail short seller would've bought some long term out-of-the-money call options as insurance for a scenario like this. Most retail shorts know it's best practice... but they're retail after all, so many are going to get burnt if this hype goes through.
    • decwakeboarder 8y ago
      > long term out-of-the-money call options I bet $425 calls are about to get real cheap.
• deleted 8y ago
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