Tesla fundraising push blows past $2 billion target

Enlarge / Elon Musk in 2018. (credit: ROBYN BECK/AFP/Getty Images)

Strong investor appetite for Tesla’s stocks and bonds has allowed the company to raise more money than it had original anticipated, Tesla disclosed in Friday financial filings. As we reported yesterday, the electric vehicle maker was planning to sell a mix of debt and equity worth at least $2 billion.

In a Friday filing, Tesla said it had actually raised $2.34 billion in an underwriting deal spearheaded by Goldman Sachs. Tesla sold shares worth $737 million and convertible notes worth $1.6 billion. Underwriters will have the option to buy an additional $350 million in stock and debt over the next month.

In recent months, skeptics have argued that Tesla’s debt-laden balance sheet and disappointing financial results would make it difficult for the company to raise more money. But this week’s results laid those concerns to rest.