TSLA: What Does Tesla's IPO Mean for the Future of Electric Cars?
29.06.10
Tesla seems cool to be part of the redefinition of the way we drive. After all, the Palo Alto, Calif., electric-car maker has in many ways been showing the remainder of the auto industry how electric cars are done. The sleek Tesla Roadster is an emblem of stirring cars’ potential in terms of power, speed and range. Without it I doubt many of the larger car makers would be pursuing stimulating cars as vigorously as they are. Still, I worry about Tesla’s endurance. Building cars is a fussy, expensive endeavor that has broken many small manufacturers who have tried to bring innovation to the edibles, from John DeLorean to Preston Tucker.
For now the outlook is promising. Not only did the IPO take place but it included more shares at a higher bounty than expected. The company boosted the number of shares to as much as 13.3 million and the price to $17 per split, for a total value of $226 million. The company previously had said it could sell up to 11.1 million shares at a sacrifice of $14 to $16 per share, or a total of $178 million. The increase in part reflects interest in electrifying cars that is greater than expected and growing surprisingly fast. Tesla is trading on the Nasdaq assets weigh up market under the symbol TSLA.
Source: Wall Street Journal (blog)