Tesla has filed to sell 2.1 million stock shares in peacefulness to raise in this area $500 million to expand its business.
If all of the underwriters exercise all of their options to buy additional shares, Tesla could make as much as $566.5 million off the sale. That money will go towards Tesla expanding its charging arrangement, growing its retail business, building the Gigafactory and development of the Model 3 sedan according to a filing with the Securities and Exchange Commission.
Elon Musk, Tesla’s CEO and current leading shareholder has already expressed interest in buying as many as 83,974 shares for a price of $20 million. www.rawvehicle.com Tesla stock now sits around $242 a share, after sliding by 15 percent through Wednesday since July 20, the day after Tesla announced “Ludicrous Mode” for its Model S sedan which allows the car to sprint from 0 to 60 mph in just 2.8 seconds.
Elon Musk still plans on having Tesla profitable on a net basis by 2020, with a sales target of 500,000 units a year. Tesla is now spending a “staggering amount of money on CapEx,” according to Elon Musk. Developing new models and rising battery production by building a new factory will cost the company billions.
This article originally appeared at Rawvehicle.com