They'll have an option to sell at $420 per share or to hold onto their shares and become shareholders of the new private company. The possibility sent the TSLA stock up +7.39% at the time it was halted.
Musk has lashed out at critics and investors who have shorted the stock, going so far as to call one prominent critic's employer to silence him, and refusing to take a hard question from a financial analyst in the company's June shareholder meeting.
Musk's tweet came two weeks after Tesla revealed it had burned through $739.5 million in cash on its way to a record $717.5 million net loss in the second quarter, as it cranked out more electric cars.
Additionally, the Tesla bull weighed in on the likelihood of Musk taking the company private. It's not hard to imagine the gyrations that Tesla's stock would go through if Musk's plan was scrapped or substantially changed.
When another person tweeted that going private "saves a lot of headaches", Musk replied, "Yes".
Going private is one way to avoid the intense scrutiny of public markets.
Green Car Reports reached out to Tesla for comment and is awaiting comment.
Unlike Trump, first lady has kind words for LeBron James
The First Lady's spokeswoman Stephanie Grisham on Saturday said Melania Trump was supportive of James' work with children. But the attack on James, who was being interviewed by another black man, to some resembled a racial dog whistle.
Donald Trump holds rally at OH high school before tight special election
President Donald Trump is arguing that Republicans need to control Congress by casting the midterms as a referendum on himself. Trump is set to hold a rally in OH this weekend for congressional candidate in the state, Troy Balderson.
Yellowstone park rangers slam 'reckless' man for taunting bison
He was arrested July 28 at Grand Teton National Park after rangers suspected him of drunk and disorderly conduct. On Thursday night, rangers at Glacier National Park apprehended a suspect: Raymond Reinke, 55, of Pendleton, Ore.
All of this is compounded by the fact that today The Financial Times reported that Saudi Arabia wealth funds had bought up to a $2 billion stake in Tesla recently, so its feasible that Musk has secured funding from overseas interests.
Tesla is the most valuable automaker in the United States, and Musk's fights with investors - specifically short-sellers, who profit when the stock drops - are a running Silicon Valley sideshow.
Intentions to buy out public shareholders usually need to be filed with the Securities and Exchange Commission, or SEC.
While no final decision has been made, he suggested a buyout price of $420 per share.
The company's shares were up more than 5 percent at more than $360.
In his letter to employees, Musk also pointed to pressure from short sellers as a major downside to being a public company.
"I fundamentally believe that we are at our best when everyone is focused on executing, when we can remain focused on our long-term mission, and when there are not perverse incentives for people to try to harm what we're all trying to achieve", he said. The company had a market value of $58bn as of Monday's close. "Funding secured, ' Musk tweeted, following up with 'good morning" and a smiley emoji. The switch would mean that shareholders could no longer freely sell their shares on the open market, but Musk said that employees-and potentially other shareholders-would still receive periodic opportunities to cash out.
Taking Tesla private would be an extreme albeit effective way of muting Tesla's bears, according to Michael O'Rourke, chief market strategist at JonesTrading.