Elon Musk has an unusual strategy to flee Saudi Arabia

Elon Musk has an unusual strategy to flee Saudi Arabia ...

Yesterday's friends seem to have become today's enemies.

Elon Musk, the world's richest man, was dependent on Saudi Arabia in 2018 to justify his desire to acquire Tesla.

"I'm considering putting Tesla private at $420," a billionaire entrepreneur posted on Twitter on August 7, 2018. "Funding is secured."

The Securities and Exchange Commission (SEC) investigated funding. This investigation had resulted in a $20 million fine for Musk and a $20 million fine for Tesla () -. The CEO had also lost his position as Chairman of the Board of Directors.

Since then, Musk has kept repeating that he received Saudi Arabian assurances that the operation would be funded.

"Mr. Musk was considering taking Tesla private at $420 a share. Funding was secured. There was investor support. These findings are supported by extensive contemporaneous evidence, including discussions with Saudi Arabia's sovereign wealth fund (the "PIF") and Tesla's board, as well as the undisputed fact that there was sufficient funding for a go-private transaction, from the PIF or otherwise."

The tech corporation used to be the subject of a virtual world war on April 14.

Musk defeats Saudi Prince

Elon Musk and Saudi Arabia are linked well in this past. However, as often happens with the billionaire, you quickly become an enemy. Therefore it does not spare you.

In a surprise and hostile bid to buy Twitter, Musk has just taken on its own, which he has already been the largest individual shareholder with a 2.9 percent share. In a statement, the serial entrepreneur made an offer of $54.20 per share to take over the entire group. He disclosed in the past that it was his best and final offer. Basically, it's take it or leave it.

Elon Musk built the Musk brand on Twitter, where he has over 87 million followers and communicates about his various businesses without having to spend much money on advertising and advertising. On Twitter, he created the image of an iconaclastic disruptor close to the public. However, he criticizes the platform for failing to respect the freedom of expression.

In order to do this, he must convince shareholders. This is where the problem arises.

Saudi Prince Alwaleed Bin Talal, one of Twitter's "largest and long-term shareholders," said Thursday that Musk's request does not coincide with "the intrinsic value of Twitter given its growth prospects."

"I reject Prince Alwaleed Bin Talal, who is one of Twitter's greatest and long-term shareholders."

TheStreet Recommands

Transparency and Human Rights

Musk's response was immediate. Like a boxer who takes a hit from his opponent, he again executes with one of his best punches.

The billionaire said he is "interesting."

"Just two questions, if I may. How much of the Kingdom owns, directly and indirectly? What are the Kingdom's views on journalistic freedom of speech?"

Il est vrai that Prince Alwaleed Bin Talal is not the country's crown prince Mohammed bin Salman, but he is a member of the royal family.

TheStreet could not obtain official figures on the topic of transparency and the Kingdom's participation in Twitter. PIF, the Kingdom's sovereign wealth fund, does not appear on the list of institutional shareholders. However, the FactSet data only covers 57% of Twitter's ownership.

Musk has focused on the point where he is atwreaks in reprimanding journalists' freedom of expression.

Last year, Saudi Arabia's Crown Prince Mohammed bin Salman approved the assassination of journalist Jamal Khashoggi at the Saudi consulate in Turkey.

The ODNI, who serves as the president's principal advisor, determined that bin Salman was influenced by his country since 2017 and the fact that members of his protective detail were directly implicated in Khashoggi's death.

On March 12, 81 individuals were executed in Saudi Arabia in a mass execution. Human Rights Watch accused Riyadh of having made them into criminals when they were only using their freedom of expression.

Saudi Arabia remains the lead of a coalition fighting Iran-backed Houthis who took over Yemen's capital in September 2014, according to reports. The kingdom, which entered the Yemen war in Yemen in 2015, has been internationally criticized for its airstrikes killing scores of civilians.

Prince Alwaleed Bin Talal has not responded to Musk's questions.

Saudi Arabia and Musk are competing in the automobile industry. Lucid, the kingdom's capital, is worth over 60% of its competitors.

These vehicles, the Lucid Air Pure, Lucid Air Grand Touring, and Lucid Air Grand Touring Performance, are in direct competition with Tesla Model S and Tesla Model S Plaid.

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