Tesla Inc launched a $ 5 billion capital increase today, when the electric carmaker acquired its share of the stock this year.
In addition, the company's shares hit a record high yesterday, pushing Tesla's market value to over $ 600 billion and continuing to strengthen its position as the world's leading automotive company even though its production is part of rivals such as Toyota Motor, Volkswagen, and General Motors.
In addition, 10 major banks, including Goldman Sachs, Citigroup Global Markets, and Morgan Stanley, will make the sale.
Additionally, demand for Tesla shares allegedly increased was driven by last month’s decision to list the company in the S&P 500 index, making it one of the most valuable firms ever to participate in major US stock market benchmarks.
However, some Wall Street investors and analysts claim that Tesla stocks are volatile, with some even warning not to list them in the S&P 50. Meanwhile, the stock price target of $ 400, $ 230 is lower than current prices.
The 670% increase in Tesla shares this year has also increased CEO Elon Musk's net profit from $ 27 billion to $ 155 billion, making it the second richest person in the world.
In September, Tesla said the company raised $ 5 billion to ease its future debt burden as the company massively expanded its existing vehicle production and built new factories near Berlin, Germany and Austin, Texas.
The company also has plans to launch a new line of vehicles, including a truck known as its futuristic Tesla Semi and Cybertruck.
Nevertheless, the company's shares have fallen by 1.3% to $ 633.73 in pre-market trading.
