Tesla’s high-yield bond prices followed the electric car manufacturer’s shares, which took a deep dive as the stock plummeted roughly 7% at the opening of today’s trading session after reports surfaced that its top executives headed for the exits after founder and CEO Elon Musk smoked marijuana on “The Joe Rogan Experience” podcast.
Prices of the bond fell by 3.5% to 82.75 as of 2:00 p.m. ET. Additionally, the price of the bond has fallen about 9% over the last three months, pressured down further by Musk’s executive decisions with respect to Tesla within the past month.
Musk’s behavior on the podcast is a culmination of what has been tumultuous times for the electric carmaker founder, which started when he first sent a tweet that he was considering taking the company private at a price of $420 a share, citing that it was “the best path forward.” The tweet to privatize Tesla halted trading of the company’s shares for 92 minutes, leaving Tesla investors in a panic shortly thereafter.
After reportedly fielding offers from a Saudi Arabian sovereign wealth fund and tech giant Apple, Musk later reneged and chose Tesla to remain public. Late Thursday, Musk’s behavior on Rogan’s podcast sparked rumors that his recreational drug might be out of control.