Elon Musk pushes Model 3 to the public as Tesla starts raising cash

File Image: IOL

File Image: IOL

Published Aug 7, 2017

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PALO ALTO - Tesla is raising $1.5 billion as it ramps up production of the Model 3 sedan, its first mass market electric car.

The company said on Monday that it planned to offer senior notes due in 2025 and would use the offering's proceeds to further strengthen its balance sheet during rapid scaling of the Model 3.

Last week CEO Elon Musk said investors should have "zero concern" about whether Tesla will be able to make 10,000 Model 3s per week by next year. Tesla just delivered the first 30 Model 3s to employees two weeks ago.

Musk worried some investors when he warned that Tesla was about to embark on "at least six months of manufacturing hell" as it attempts to get Model 3 production to 5,000 cars per week by December.

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