Tesla wants to take advantage of the phenomenal rise in the price of its shares, announcing that it intends to sell new shares worth 5 billion dollars, it announces CNN
.
–
The company said sales would take place “from time to time” at market prices.
This is not the first time that the company founded by Elon Musk has taken advantage of the sharp rise in the price of its shares to sell additional ones, making it much more common in the first years after launch when it was in liquidity crisis.
Tesla has had two more billions worth of billions of dollars this year as well.
The turnaround this year also allowed the company to increase its liquidity reserves, profitability being one of the main factors that led to the increase of the company’s shares in 2020.
Tesla had liquidity reserves worth $ 14.5 billion at the end of September, more than double that of early 2020.
The company’s shares increased by 668% this year at the close of the markets on Monday, but the news of the issuance of new shares led to a slight decrease in their quotation.
Tesla’s market value exceeded $ 600 billion for the first time on Monday, making it one of the most valuable American companies and by far the best-rated carmaker.
Its shares are worth about as much as those of the next seven carmakers together: Toyota, Volkswagen, Daimler, General Motors, BMW, Honda and Hyunday.
The company is building a new plant in Germany and another in Austin, Texas, working for the first time on a van and an electric semi-trailer truck.
Despite the need for liquidity to cover expenses with the new plans, Elon Musk had rejected the idea of selling additional shares when asked about his plans by investors in late January.
But since then, the company has sold $ 2.3 billion worth of shares in February and $ 5 billion worth of shares in September after facing several unforeseen costs since January.
These include those caused by the fact that its main factory in Fremont, California, was temporarily closed for almost two months due to the quarantine imposed in the American state to fight the COVID-19 pandemic.
Read also:
––
–
–
