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Posts Tagged ‘Tesla stock offering’

Wall Street Throws Tesla a Lifeline

Stock offering does better than expected.

by on Mar.17, 2017

Tesla needed cash to ensure the Model 3 launch.

Despite growing concerns among industry analysts, investors haven’t given up on Tesla. Anything but.

Wall Street came up with another $1.2 billion in capital for the Silicon Valley battery-carmaker this week as it went back for an infusion aimed at helping complete development of the critical new Model 3 SUV set to go into production in July. And it’s possible the figure could climb to $1.4 billion.

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The latest stock offering went off barely a year after Tesla’s previous turn to the market, and was meant to “reduce any risks associated with the rapid scaling of (our) business due to the launch of Model 3, as well as for general corporate purposes,” the company said. It also came just weeks after Tesla CEO Elon Musk warned that the maker’s finances were “getting very close to the edge.”

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Tesla May Need Up to Nearly $2 Bil to Get Model 3 into Production

Jump in share price could make additional stock offering easier sell.

by on May.19, 2016

The Model 3 is slated to come to market in 2017; however, the launch comes with a hefty price tag of nearly $2 billion.

Tesla Motors CEO Elon Musk has laid out an ambitious launch plan for the upcoming Model 3 that would transform it into a mainstream automaker by 2018 – but the California battery-carmaker will need anywhere from $1.4 billion to $1.7 billion to fund the new model’s rollout and production plans, Tesla said.

It would mark the second big stock offering in barely a year for the money-losing Tesla, and word of the move sent the maker’s shares tumbling, though the stock, traded on the New York Stock Exchange as TSLA, is still well ahead of where it was prior to the March 31 unveiling of the Model 3.

Electrifying!

In a public filing, Tesla said it needs cash to complete the development of the new battery sedan, its first to target a mainstream market segment. It also noted that it “may also use a portion of the net proceeds (for) working capital and other general corporate purposes.” (more…)

Tesla Offering $500 Million in Stock Offering

EV maker plowing cash into product, Gigafactory development.

by on Aug.13, 2015

Tesla is looking to raise $500 million in capital for product and Gigafactory development.

Days after it reported another quarterly loss and a study shows it’s basically losing $4,000 on every Model S it sells, Tesla Motors is looking for investors to gobble up another $500 million in stock with the EV maker’s latest public offering.

Tesla said it “intends to use the net proceeds from this offering to accelerate the growth of its business in the United States and internationally, including the growth of its stores, service centers, Supercharger network and the Tesla Energy business, and for the development and production of Model 3, the development of the Tesla Gigafactory, and other general corporate purposes.”

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In the spirit of shared sacrifice, Tesla’s founder and CEO, Elon Musk, will buy the first $20 million, according to the automaker. Tesla intends to grant the underwriters a 30-day option to purchase up to $75 million of additional shares of common stock. (more…)