DETROIT -- Tesla is increasing the amount of money it will attempt to raise to as much as $2.7 billion.
The Palo Alto, California, electric car and solar panel maker said Friday that it's raising the offer due to the positive response from Thursday's announcement that it would try to raise $2.3 billion.
Also, CEO Elon Musk more than doubled the amount of stock he would buy from $10 million, to $25 million.
The offer was detailed in a filing Friday with the U.S. Securities and Exchange Commission. It includes up to $1.84 billion in notes that pay 2% annual interest and convert to Tesla common stock in 2024. Also included are more than 3.5 million new shares worth as much as $866 million.
The new numbers include underwriting brokers exercising their full options to buy additional notes and shares.
Last week, Tesla reported its cash balance at the end of the first quarter shrunk by $1.5 billion since December, to $2.2 billion. Musk said during a conference call that Tesla might need to raise capital again.
Shares of Tesla Inc. rose 1.2% to $247.07 after the markets opened Friday. They are down 26% so far this year.Business on 05/06/2019
Print Headline: Tesla raises capital goal