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Tesla seeks to sell $5B in stock; CEO Musk moves to Texas

Tesla Plant
Posted at 4:29 PM, Dec 08, 2020
and last updated 2020-12-08 19:33:14-05

Tesla says Tuesday it wants to raise up to $5 billion in capital through a stock offering.

The move came the same day that CEO Elon Musk said he has moved from California to Texas.

The stock offering is the second for the company in three months.

In September Tesla said that it planned to sell up to $5 billion worth of common shares just one day after its 5-for-1 stock split took effect.

According to the Associated Press, 10 different brokerage houses will sell the stock offerings, and each will get up to a 0.25% commission.

Musk told The Wall Street Journal in an interview that he has switched states, saying that California is complacent with innovators and has taken them for granted.

According to the AP, earlier this year, Musk threatened to relocate Tesla’s Palo Alto, California, headquarters and future manufacturing to Texas over a spate with county officials on whether Tesla’s San Francisco Bay Area factory should stay closed due to coronavirus restrictions.

Next year, Tesla is scheduled to roll out its new “Cybertruck” pickup and a semi.