Acasă » Electricity » Tesla to raise money for car cell factory

Tesla to raise money for car cell factory

20 February 2014
Bogdan Tudorache

Elon Musk, chief executive of Tesla Motors, indicated that he is planning to use the electric car company’s soaring share price to raise cash next week for a giant battery cell factory, according to Financial Times.

His comments followed the latest surge in the company’s stock price, after it released stronger than expected earnings and lifted its delivery forecast for this year.

Mr Musk had already promised what he called a “gigafactory” for the lithium ion cells used in the battery packs for Tesla vehicles, with the ability to produce more cells than the entire current worldwide capacity.

The shortage of cells has become the main bottleneck for Tesla as it tries to scale up sales of its hit luxury sedan, the Model S, and looks forward later this year to production of a second model, an SUV crossover called the X.

News that Tesla lifted its forecasts for 2014 boosted its stock by 11 per cent in after-market trading to a record high on Wednesday. The value of the company has bounced back by more than 60 per cent since late last year, when reports of three fires in the company’s Model S vehicles fuelled fears of deeper problems.

Autor: Bogdan Tudorache

Active in the economic and business press for the past 26 years, Bogdan graduated Law and then attended intensive courses in Economics and Business English. He went up to the position of editor-in-chief since 2006 and has provided management and editorial policy for numerous economic publications dedicated especially to the community of foreign investors in Romania. From 2003 to 2013 he was active mainly in the financial-banking sector. He started freelancing for Energynomics in 2013, notable for his advanced knowledge of markets, business communities and a mature editorial style, both in Romanian and English.

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