I was probably a little harsh. My apologies. It's just that the way this thing is being handled is pretty bush league. I mean, unless the ink is dry on some sort of financing instrument this deal is very much in doubt. Usually when a company is taken private like this it's because it is generating more cash than the value of the stock. Therefore, it is attractive from a financing standpoint and can make debt service. RJR was making tons of money and generating a lot of cash. The problem was that investors were focusing on the cigarette business and undervaluing the rest of the company. This was back when there was talk of the FDA regulating nicotine as a drug and perhaps even outlawing tobacco. Also, there was a lot of public pressure not to support smoking which large institutional investors and insurance companies bowed to.
In Tesla's case, I really don't see it. Sure they have some desirable products, but substitutes are available. They are burning, not generating cash and have a ton of debt already. The biggest asset they probably have is the brand, but that isn't worth anywhere close to $72 billion.
The book I mentioned in my previous post is a really good read and I doubt much has changed since then. I plan to go home and dust off my copy tonight. They made it into a movie starring James Garner I think, but it wasn't very good. The book is much better.
2012 Leaf SL leased October 4th, 2012