Tesla Motors has said it is “very committed” to keeping the first-hand car maker Tesla Inc. on board for its second-quarter results and will keep its second hand product development pipeline running until its second quarter of 2020.
Tesla Motors said Tuesday that it will pay $6 billion to acquire Tesla from its former owners and sell its shares to a third party.
Tesla said it has been in discussions with the Chinese carmaker for more than two years and has been meeting with representatives from its board and investors for several months.
The deal, first reported by Reuters, will give Tesla an estimated $4.8 billion to buy back its shares and sell them at a price of about $37 a share.
The deal is expected to close in the first quarter of 2021.
The company’s stock has been on a tear since late last year and Tesla’s shares have surged nearly 80 percent since then.
Tesla’s share price has soared more than 400 percent since March 3, 2019.
Tesla CEO Elon Musk is expected Wednesday to hold a press conference with President Donald Trump to discuss the company’s future.
Trump will be at the event, and Musk will also speak.
Musk will be accompanied by Musk’s son, Peter, and his wife, Holly.
Trump, who is visiting California and New York state, is a major backer of the company.