Elon Musk is considering taking Tesla private in what would be one of the largest such deals in history, as he deemed it the "best path forward" for the company.
According to the BBC, Musk said delisting from the stock exchange would enable Tesla to take longer-term decisions and not be pressured into keeping investors happy.
In what is seen as an unusual move, he said shareholders would be offered $420 a share. Shares ended Tuesday 11% higher at $380 following the announcement on Twitter.
Musk said: "Am considering taking Tesla private at $420. Funding secured.
"Basically, I am trying to accomplish an outcome where Tesla can operate at its best, free from as much distraction and short-term thinking as possible."
However, he added no "final decision" had been made about the move, which he claimed investors were backing.
Musk, who owns nearly 20% of Tesla, added the move would protect the firm from distractions such as large swings in the share price and quarterly results.
If Tesla was taken private at $420 a share then the deal would be worth more than $80bn, including the firm's debt.
Adrian Hull, co-head of fixed income at Kames Capital, commented: "Irascible founder and CEO seeks to avoid "old world" scrutiny by taking the company private.
"The incorrectly priced bond deal from a year ago has barely traded above issue ever since.
"Fixed income investors in the deal confused the wanderlust of new world technology and equity price performance with being a good bond.
"Taking the company private has little material impact on the bond but expectations of change of control benefit are likely misplaced.
"The bigger question is who would want to spend that when you could buy a couple of luxury German car manufacturers for the same price?"
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