After the implementation of the stock split plan, Tesla did not usher in the expected stock price continued to rise. In a bullish sentiment, Tesla’s largest external shareholder, British investment fund Baillie Gifford, instead achieved high-level and precise cash out by drastically reducing its shareholding ratio.
The “Securities Daily” reporter learned that Bailey Gifford’s shareholding reduction occurred at the end of August. According to the requirements of the United States Securities and Exchange Commission (SEC), the group reported the shareholding reduction on August 31 and disclosed it on September 2. .
According to documents submitted by Bailey Gifford to the US Securities and Exchange Commission, the group’s shareholding in Tesla was reduced from 6.32% to 4.25%, involving 19.284 million shares (calculated after the stock split). If calculated according to Tesla’s closing price of US$498.32 per share on August 31, the total set of cash amounts to US$9.61 billion. According to reporters, the Edinburgh-based fund group currently manages 262 billion pounds (approximately RMB 2,386 billion) in assets, of which more than 200 customers hold Tesla shares.
Affected by this bad news, on September 2nd, Tesla’s stock price fell by 14.7% in early trading, and then rebounded, closing down 5.83%; on September 3rd, Tesla was unable to restrain its downward trend, and the stock price fell again. 9.02%, the biggest single-day drop in more than five months.
In this regard, Bailey Gifford issued a statement saying: It is inappropriate to interpret the reduction as institutional investors’ evaluation of the loss of confidence in Tesla. The group still believes in Elon Musk’s company for a long time, and the reduction in shareholding is only Due to portfolio restrictions.
Group partner James Anderson said in an interview with the media: “Tesla’s stock price has risen sharply, which means that we need to reduce our holdings to reflect the centralized guiding principle, that is, to ensure that the weight of a single stock in the customer’s portfolio cannot exceed A certain proportion. Now Tesla has no difficulties in external financing, but if the stock price drops severely, we will still choose to increase our holdings.”
Anderson also said: “In the critical period of Tesla’s development, we are fortunate to be its largest external shareholder. We are very grateful and respectful of Tesla’s efforts to promote the transportation and energy revolution in an environment full of doubts and denials. Extraordinary efforts and achievements.”
The reporter noticed that Bailey Gifford bought 2.3 million shares of Tesla for the first time in January 2013, valued at US$89 million. At that time, Tesla’s stock price (after stock split adjustment) was less than US$7. (About RMB 48). By December 2019, it increased its holdings to nearly 14 million shares, with a shareholding ratio of 7.7%, making it the second largest shareholder after Musk at that time.
According to the reporter’s observation, Bailey Gifford has sold nearly half of Tesla’s shares this year. As of the completion of the reduction, the group’s customers are expected to make a profit of up to 20 billion U.S. dollars (about 136.7 billion yuan) from investing in Tesla.
In this regard, Sina Auto Finance columnist Lin Shi told the “Securities Daily” reporter that Tesla’s stock price surge before the stock split was mainly due to three aspects. First, the stock split plan itself as a major benefit, the company’s stock price rose by 12%; secondly, Tesla achieved profit for the fourth consecutive quarter and was included in the Standard & Poor’s 500 index; finally, Tesla’s car delivery in the second quarter Continued to rise, better than expected.
“Investors familiar with Tesla should be no stranger to Tesla’s rapid rise and fall. Only this year, its stock price has risen by 465%. The controversy over its stock price and market value has never stopped.” Lin Shi Tell the reporter that behind the soaring market value of Tesla, it is not only Musk’s “technical maniac” idol halo. In the work of constantly opening up new frontiers, Tesla has not slackened a step.
On September 2, Tesla stated that it plans to raise up to US$5 billion (approximately RMB 34.2 billion) through the issuance of new shares to invest in its Cybertruck electric pickup truck and to fund its international expansion, including the establishment of European manufacturing in Germany And the battery center plan.
In addition, in order to compete for the supremacy of the European electric car market, Musk seems to be opening up a new battlefield in Europe. The latest news shows that Tesla has now obtained a license that allows it to provide electricity within Western Europe. Prior to this, Tesla has repeatedly surveyed German consumers whether it will accept Tesla’s provision of power services to their cars.
An automotive industry analyst who declined to be named said that Germany is the largest electricity market and the most important automotive market in Europe. Tesla may use the aforementioned series of actions and cooperate with one or two organizations to establish electric utilities in Germany and challenge the local traditional electric utility companies.