Tesla Inc. announced that it has created a special committee comprised of three directors to take a closer look at the company's CEO's abrupt decision to make the electric car maker a private firm.
According to BBC, the internal committee will be comprised of company board members Brad Buss, Robyn Denholm and Linda Johnson Rice.
Meanwhile, the law firm of Latham & Watkins and the corporate legal team will oversee the legal proceeding conducted by the committee.
In an initial statement made by the newly-formed body, it was found out that the company has still haven't received "a formal proposal" from Elon Musk himself. This is with regards to the issue of the on-going "private transaction" made by the CEO. The committee, moreover, is yet to reach a conclusion on the "advisability or feasibility" of the said transaction.
Musk stirred up a public storm earlier this month when he announced on Twitter his plans to make Tesla into a private company.
According to an earlier report from this site, the South African business mogul took to the social media to say that he was considering on the notion to pull out the EV manufacturer from the Wall Street.
In a letter he sent to his constituents in Tesla, Musk revealed that his decision to remove the firm from the stock exchange would consequently free them from any baggage brought on by being publicly listed.
Musk further noted that with Tesla in the stock market, the company would always become a "subject to the wild swings" of the share price fluctuations. He calls this situation a "major distraction" for everyone who works for Tesla.
Tesla's share has plummeted since then.
The New York Times said that Tesla's board of directors are now scrambling to control the damage brought by Musk's uncalled for Twitter announcements.
According to the news outlet, some of the company execs even went on to demand the founder to stop tweeting.
However, Musk remained adamant about his company's pleas. He reportedly continued to make tweets where he blatantly revealed Tesla's strategy once his plans for privatization come to fruition.
One of the most interesting Twitter updates Musk made this week was his apparent negotiation with the Saudi Arabia government through its investment funding arm, Public Investment Fund (PIF). The oil-rich kingdom has long been on the lookout for alternative avenues where the country can make money should its main industry - crude oil importation - be closed down.
