Tesla’s biggest investor: it’s a family business masquerading as a public company
Leo KoGuan has invested more money into Tesla than anyone in the world, yet he can’t even get his concerns heard by the company’s board. The shareholder is frustrated with some of the CEO’s recent controversies, but with the board MIA, there’s no way to reign him in.
We first reported on KoGuan in 2021 when the little-known investor became the third largest individual shareholder in Tesla behind Elon Musk and Larry Ellison.
The Indonesian-born Chinese American businessman is better known for founding SHI International Corp, a large private IT company that made him a billionaire. He is also involved in academia and philanthropy.
KoGuan has previously described himself as an “Elon fanboy” (the featured image above is him and Musk) and believes in Tesla’s mission to accelerate the world’s transition to sustainable energy. He has been willing to put his money on it and by 2022, he had invested more money in Tesla than Musk himself.
Of course, Musk invested early in Tesla, and therefore, he holds a bigger share with a smaller investment.
KoGuan is the third largest individual shareholder in the company, but you could argue that he is the biggest Tesla investor as he invested more than anyone in the company: $3.5 billion.
The investor is active on X. On the platform, he has been mostly supportive of Musk and Tesla, but like many other shareholders, he started to be more critical since Musk sold about $40 billion worth of Tesla shares to buy Twitter.
Interestingly, KoGuan doesn’t really comment on Musk’s most controversial statements, but he is concerned about his sales of Tesla stocks, how he did them, and what it means for his commitment to Tesla.
More recently, he also made fun of Musk’s request to have 25% voting power of Tesla:
KoGuan likes to call Tesla shareholders Elon’s “adopted children” and more recently, his “abused adopted children”. “Dear leader” is a reference to Kim Jong-il, the former supreme leader of North Korea.
I asked him yesterday if he has received any feedback from Tesla’s board or investor relations regarding his concerns, and this was his response:
“No response. Nil. Tesla is a family business masquerading as a public company to benefit only one person with his few friends and family. “
KoGuan is particularly concerned about the lack of oversight on how Musk dumped his Tesla shares on the open market. He told Electrek:
Why SEC allowed a CEO of a public company to dump his stocks worth more than $40 billion naked in the market to push the price down while predicting a market crash? He is now negative investing in Tesla or about minus $39 billion. He could have asked Goldman Sachs and Morgan Staley to sell those in block sales to fund managements that could keep those stocks, not dumping them in the market? Tesla’s shareholders are his abused adopted kids whom he could abuse with impunity.
It is fairly common amongst large shareholders and company insiders to set up a plan to sell large amounts of stocks in order to minimize the impact on the market.
The investor is bringing up legitimate questions and even though he is one of the largest shareholders, he can’t be heard by the board.
The board of directors of a public company is tasked with setting strategy, overseeing management, and protecting the interests of shareholders and stakeholders. It is technically overseeing the CEO, Elon Musk, who is, in turn, in charge of the entire management and operation of the company.
For large companies like Tesla, it is preferred that the board be independent of the management, but in the case of Tesla, the board has long been seen as being under Musk’s control. As Tesla grew, shareholders put pressure to hire independent board members, which Tesla eventually did.
But the board is still widely believed to be too close to Musk. Musk’s brother Kimbal, as well as longtime friends Ira Ehrenpreis, James Murdoch, and JB Straubel, are all on the board.
The board has also been granted record high compensations and even had to return $735 million in stock and cash as part of the settlement of a lawsuit brought on by shareholders over what they believed to be overcompensation.
Electrek’s Take
“Tesla is a family business masquerading as a public company.” Those are strong words coming from the biggest investors in the company. And it’s hard to argue against those words.
Do you know of any other major public companies like Tesla that don’t even have a public relations department? Elon is basically the sole mouthpiece for the company.
Tesla has 140,000 employees. It’s worth more than $600 billion. And yet, it appears to be completely under Elon’s thumb, for better or worse. It might have been for the better early on. No one believed in the vision more than Elon. His unwavering belief in himself and the mission helped break through doubts, but now Tesla is a different company. It’s not the underdog fighting for the impossible anymore. It made the impossible happen. EVs are now mainstream. Energy storage is now a critical part of the renewable energy infrastructure.
Now, it is about properly managing the immense scaling of that business, which is badly needed to support the world’s transition to renewable energy. It’s about a wide appeal. It’s not about being decisive. Tesla might need strong governance more than it needs a maverick at this point.
As for the board, it remains silent and uncommunicative to shareholders despite serious conflicts of interest and even possibly a breach of fiduciary duties of its CEO.
In 2018, Elon left OpenAi officially to “avoid a conflict of interest as Tesla is increasingly working on artificial intelligence“.
Yet, now 6 years later, Elon poaches Tesla employees to work on X and his new AI startup xAI, and openly talks about not building AI products at Tesla if he doesn’t get 25% control over the company, but the board doesn’t do anything.
Even one of the biggest shareholders and supporters of the company, Leo KoGuan, can’t get his concerns heard by the board. What hope do smaller investors like us have? It’s shameful, really.
The fact that Elon has the guts to ask for more control over Tesla when it’s clear that he has complete control over the company right now is absolutely ridiculous.
Of course, he only wants control of the votes and “not more economics”, as he said, and it’s just a coincidence that there’s no way to give him more control over the votes without giving him more shares, which he wasted on an overpriced Twitter.
There wouldn’t be a Tesla without Musk. It would have died on several occasions without him. But Tesla also would have died without its strong base of retail investors. They need to be heard. The board needs to do better.
I still have a little bit of hope though. I think the board could find the courage to confront Musk and, at the very least, have him agree to a framework that keeps Tesla safe from his clear conflicts of interest. If even that can’t be achieved, it might be time for a new full-time CEO at Tesla.
What do you think? Let us know in the comment section below.
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T1 Energy (NYSE: TE), formerly FREYR Battery, kicks off preparations for its new solar cell factory, set to be one of the largest in the US.
T1 Energy has chosen Yates Construction as the contractor for preconstruction services and site preparations for its planned $850 million, G2_Austin 5 GW Solar Cell Facility.
The G2_Austin site is in Milam County, Texas, in the Advanced Manufacturing and Logistix Campus at Sandow Lakes.
It’s expected to create up to 1,800 new direct US advanced manufacturing jobs. Construction is on track to kick off in mid-2025, and the facility is expected to begin producing cells by the end of 2026. There are currently far fewer solar cell manufacturing sites in the US than solar module factories, according to the SEIA.
On December 24, FREYR announced that it had closed its acquisition of China-headquartered Trina Solar’s 5-gigawatt (GW), 1.35 million-square-foot solar panel factory in Wilmer, Texas. The company renamed the factory G1_Dallas, which employs more than 1,000 people and is now fully online.
Daniel Barcelo, T1’s chairman of the board and CEO, said, “Our facilities will manufacture solar cells and modules to invigorate our economy with abundant energy. We’re excited to work with Yates and Milam County to bring American advanced manufacturing to the heart of Texas and to unlock our most scalable energy resources.”
T1 Energy says it anticipates finalizing commercial terms with Yates Construction as General Contractor.
Read more: FREYR rebrands after killing its $2.6B Georgia battery factory plans
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![Kia's affordable EV2 may be small, but it looks bigger in person [Video]](https://i0.wp.com/electrek.co/wp-content/uploads/sites/3/2025/05/Kia-EV2-closer-look.jpeg?resize=1200,628&quality=82&strip=all&ssl=1)
The EV2 is set to arrive as Kia’s smallest and most affordable electric vehicle next year. With its official debut coming up, the electric SUV was spotted driving on public roads. The electric SUV may be small, but it looks bigger in person.
Kia’s new EV2 is an affordable, small electric SUV
Kia has yet to say precisely how big the EV2 will be, but it’s expected to be around 4,000 mm (157″), or slightly smaller than the EV3 at 4,300 mm (169.3″). That’s even more compact than the outgoing Chevy Bolt EV (163.2″).
During its EV Day event in April, Kia unveiled the Concept EV2, a preview of the entry-level EV that will sit below the EV3.
Although it’s the brand’s smallest EV, Kia promises that it will feel larger when you’re inside. The EV2 sits higher than you’d expect with a wide front end, giving it a bigger presence on the road, similar to the three-row EV9.
We got a sneak peek at Kia’s affordable EV last month after it was spotted testing on public roads in Korea, but the latest sighting gives us a closer look at the EV2 in its production form. The new video from HealerTV reveals a few details that could look a little different from the concept.
The footage shows what appears to be different daytime running lights (DRLs). When Kia unveiled the Concept EV2 in April, it featured a unique split vertical headlight design.
The EV2 spotted driving still has the split design, but both the inner and outer lights appear to be angled more inwards. It’s not a huge difference, but given most of Kia’s new EVs look almost identical to the concepts, this could be something to keep an eye on.
Prices, specs, and more
Despite being an entry-level model, the EV2 is still equipped with advanced technology and features, including vehicle-to-load (V2L) capability, which allows it to power a campsite, home appliances, and other electronics. With OTA updates, it will only get smarter and more advanced over time.
The interior will feature Kia’s new ccNC (connected car Navigation Cockpit), which features dual 12.3″ driver cluster and touchscreen navigation screens in a panoramic display.
Like its other new EV models, it’s also expected to include a 5″ climate control display for nearly 30″ of screen space.
Kia plans to launch the EV2 next year in Europe and “other global regions.” For those in the US, sorry to disappoint, but it’s not expected to make the trip overseas. We do have the EV4, Kia’s first electric sedan, to look forward to.
We will learn prices and final specs closer to launch, but given it will sit below the EV3, it will likely be cheaper than that.
The EV3 starts at £32,995 ($44,800) in the UK and €35,990 ($41,600) in Europe. Kia’s CEO, Ho-Sung Song, told Autocar in 2023 that the company aims to launch the EV2 at around £25,000 ($32,000) in the UK. With new battery technology and other advancements, it could be even more affordable when it arrives next year.
Kia isn’t the only automaker gearing up to launch a new entry-level EV. Last week, we got a glimpse of the upcoming Volkswagen ID.2 after it was spotted in public testing.
Should Kia bring the EV2 to the US? Would you buy one for around $30,000 or even slightly less? Drop us a comment below and let us know.
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Environment
This electric pickup is taking Korea by storm, now it’s going global on a ‘full-scale conquest’
It’s not a Kia or Hyundai, but the Musso EV pickup truck is shaking up the Korean Market. After the first models left for Europe, the company’s CEO is already saying it will be a “driving force” as it goes on a global conquest.
Korea has a new EV pickup that’s going global
During an event celebrating the first exports of its new Musso EV and Torres HEV pickup trucks, KG Mobility’s CEO, Kwak Jae-Seon, said the new models “have already received favorable reviews and garnered much attention from reporters and sales agents.”
KG Mobility (KGM) expects them to serve as “a driving force” as it expands exports into new global markets. The first Ro-Ro (Roll-on/Roll-off) hit the seas on June 12 carrying 983 vehicles, 184 Musso EVs, and 799 Torres HEVs.
The vessel is headed for Europe, where the first models will be sold in Germany, Spain, Norway, Hungary, and other markets, starting in August.
Jae-Seon, who personally drove the Musso EV onto the car carrier, said during the event that pickup is now on a “full-scale conquest” as it rolls out globally.
KGM’s EV pickup has already generated quite the buzz in Korea, beating Hyundai and Kia to the first fully electric pickup truck.
After launching the Musso EV pickup in Korea in March, the company announced it had secured over 3,200 orders in two weeks. The Special Edition model sold out in an hour and a half.
KGM promotes the vehicles as “a new alternative to mid-size SUVs” that’s more useful as an everyday ride with more interior space.
Measuring 5,160 mm long, 1,920 mm wide, and 1,740 mm tall, the electric pickup is about the size of a Ford Ranger (5,225 mm long, 1,910 mm wide, and 1,866 mm tall).
The infotainment system looks a lot like new Hyundai and Kia EVs with a dual 12.3″ driver cluster and touchscreen navigation screens in a panoramic display.
It also comes with a Land Rover-like ClearSite Ground View camera, allowing you to see what’s beneath you through several strategically placed cameras.
The electric pickup is powered by an 86.6 kWh LFP battery, providing a range of nearly 250 miles (400 km). With up 200 kW fast charging, it can recharge to 80% in 24 minutes.
KGM’s Musso EV is available in both single (FWD) and dual-motor setups. The FWD version features a 152.2 kW front motor, producing up to 207 horsepower, while the AWD model boasts up to 413 horsepower. It can tow almost 4,000 lbs (1.8 tons) and includes a “trailer sway function” to stabilize the vehicle while towing.
The Musso EV pickup starts at 48 million won, or about $35,000. With incentives, KGM says the purchase price is closer to 39.62 million won ($29,000).
With more monthly exports in May than it has in 10 years, KGM expects the Musso EV pickup to accelerate the momentum.
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