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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Manufacturing & engineering

Tesla needs $1.1bn in Q3 for Gigafactory and production

Lithium consumer still has cash reserves on hand, but may need to raise funds

Tesla Motors (NASDAQ:TSLA) announced on Monday that it needs $1.1bn in cash as it heads into its third quarter.

The amount represents about a third of its cash-on-hand following the second quarter. Analysts are wondering whether the innovative company will need to raise cash in the short-term. Tesla says it needs the capital to finish building the Gigafactory (its huge battery factory) and increase production for its new sedan.

Tesla is a major lithium consumer, accounting for a significant uptick in demand for the rare element. That in turn is helping to boost demand and production among miners globally, but particularly in Nevada, site of the Gigafactory.

Tesla Motors stock was down about 1% nearing market close on Monday, at $227.51.

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