Monday, June 28, 2010

Tesla Motors shares priced at $17, above range

Tesla Motors shares priced at $17, above range
NEW YORK -- Tesla Motors Inc. said Monday its shares were priced at $17 each, above what it expected.

The electric car startup plans to launch its initial public offering of stock on Tuesday. The Palo Alto, Calif., company is offering 13.3 million shares, meaning it raised $226.1 million at the $17-a-share price. It had earlier estimated the shares would sell between $14 and $16 each.
The company plans to trade on the Nasdaq stock exchange under the ticker "TSLA."

Tesla currently sells a single car, the two-door $109,000 Roadster, but has plans to launch a next-generation electric car called the Model S starting in 2012. That car is expected to cost less than $50,000 after federal tax credits and get 300 miles on a charge.

But the company has lost $290.2 million since it was founded in 2003 and has never had a profitable quarter. It doesn't expect the red ink to go away until it starts selling the four-door Model S in large volumes.

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