Legal Elon ⚖️

Legal Elon

The amount of news regarding Elon Musk that doesn’t involve Tesla is worrying Tesla investors. It feels as if Twitter might become his number one, and the funding for his Twitter buyout is the biggest concern. Investors are worried he sold Tesla stock in order to finance it and might need to sell further equity for other costs involved. All we’ve been reporting on regarding Musk has been Twitter the last few weeks, so it’s fair to be concerned as an investor in a company many believe is already overvalued.

However, Wednesday brought an end to the drought with the world getting positive news regarding Elon Musk and Tesla. A Delaware court ruled that Elon Musk did not act unlawfully in Tesla’s $2.1 billion takeover of SolarCity, which has been a disputed case for the last few years. Tesla acquired SolarCity in 2016, and Musk was accused of coercing Tesla’s board into acquiring the company as Musk was the Chairman and largest shareholder, with the lawsuit wanting $13 billion in return. Furthermore, Musk was accused of overpaying to acquire the company, which would help him more due to his position. SolarCity was running in losses, and it looked suspicious. According to Joseph Slights III, the official who looked over the deal, Musk did provide a fair offer to acquire the company, and it was able to be proven with Musk’s reasoning being that Tesla wants to be more than a car company. Slights said that the current success of Tesla displays this, and he’s not wrong. This gets some weight off Musk’s shoulders, but he might have to fly through some more legal clouds with his acquisition of Twitter. Yep, Twitter, not Tesla, and that’s the way things will be in the next few weeks regardless.

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:

More Posts

What is a kids brokerage account?

23 March, 2023

A kid’s brokerage account is more accurately called a custodial account. This is a brokerage account that parents or legal guardians can open on behalf of their child.

Load More
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Facebook Twitter Youtube Instagram Snapchat Tiktok
learn
products
plan
Who we are
blog

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community.The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results.Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such.Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.