Shares of Nissan Motor Co. plunged as much as 10%, the most in three weeks, after Tesla Inc. Chief Executive Officer Elon Musk dismissed a report that he was interested in investing in the ailing carmaker.

A Japanese consortium, including ex-PM Yoshihide Suga, plans to encourage Tesla to invest in Nissan after merger talks with Honda failed. Foxconn also seeks a partnership framework with Honda, Nissan,

Elon Musk responded, "The Tesla factory IS the product. The Cybercab production line is like nothing else in the automotive industry."

A high-level Japanese group that includes a former prime minister has drawn up plans for Tesla to invest in Nissan after the collapse of its merger talks with Honda , the Financial Times said on Friday.

Elon Musk, CEO of Tesla, has denied rumors suggesting that Tesla might invest in the struggling Japanese automaker Nissan. This denial came after a report indicated that a Japanese group was seeking to attract investments into Nissan,