The Public Meltdown Of Elon Musk

The enigmatic CEO of Tesla has cost his company billions of dollars by airing his views on Twitter. It’s time that the Tesla board steps in to protect shareholders.

- Lloyd Gedye

 

How many South Africans are proudly claiming Elon Musk this month?

The enigmatic celebrity CEO of Tesla is facing calls for him to step down, as well as greater regulatory scrutiny and a shareholder backlash after his actions literally cost the company billions of dollars.

All because his Twitter-hungry fingers have ensured he makes headlines almost every other day.

In mid-August, Tesla shareholders watched their stock shed a combined $8bn, or 16% of its value, after Musk had a very public meltdown in the form of a tweet.

“Am considering taking Tesla private at $420. Funding secured,” read the tweet on 7 August.

Musk had been having conversations with Saudi Arabia’s Public Investment Fund, which had expressed interest in helping take the company private. But when he set his tweet loose, he had not proposed the move to the Tesla board.

Now the US Securities and Exchange Commission is investigating the Tesla CEO for his public statements around privatisation plans that may or may not have been real.

Musk has since given a tear-filled interview to The New York Times, in which he described the strain he is under. He also discussed his use of Ambien, a sedative used to treat sleeping problems.