Deals
Tesla Raises $2.35 Billion in Boosted Debt, Stock Offerings
- Musk changed tune on capital needs after costly first quarter
- Infusion brings cash-to-sales ratio back to typical level: BI
This article is for subscribers only.
Tesla Inc. raised $2.35 billion through debt and stock offerings that expanded from the company’s initial plans, helping to put some near-term liquidity fears to rest.
The electric-car maker raised $750 million selling common stock and $1.6 billion from convertible bonds, up from originally offering $650 million and $1.35 billion. The capital raise sparked a relief rally in both Tesla’s stock and bonds, which had reflected investor worry over whether the company can be sustainably profitable.