The document outlines that Tesla will sell up to $1.35 billion in convertible senior notes. The number could increase further: Tesla is giving underwriters the chance to buy a further $202.5 million for over-allotments. In share numbers, that’s an initial 2,723,198 shares that could expand to 3,131,677.
The notes are due in 2024 and, already, Tesla founder and CEO Elon Musk is committed to buying $10 million in the offering, that’s 41,896 shares.
Tesla’s stock price rose by five percent in pre-market at the time of writing, according to data from Yahoo Finance.
As is often the case in such offerings, the plans for the funds raised are fairly vague at this point.
“We intend to use the net proceeds from this convertible notes … Read the rest