NEW YORK—After a long period of speculation, Tesla Motors, Inc., the California-based makers of electric sports cars, filed for an initial public offering (IPO) last Friday.
The IPO was for up to $100 million in common stock, sold after the markets closed on Friday afternoon. The IPO will pave the way for Tesla to become a publicly traded company with the wherewithal to massively expand its current research and development capabilities.
The Palo Alto-based automaker was widely known for its all-electric Roadster, a sports car retailing for $109,000. It is currently the only model Tesla sells, but the company is currently developing a four-door sedan, called the Model S, which retails for less than $50,000 after tax credits.
The U.S. Department of Energy gave Tesla a $465 million loan last summer to help the company develop the Model S.
According to a form S-1 filed with the U.S. Securities and Exchange Commission on Friday, Tesla has sold 927 Roadster vehicles as of Dec. 31, 2009, all to U.S. and European customers. But the company remains unprofitable to this day—it lost $82.8 million in 2008, and lost $31.5 million in the nine months that ended Sept. 30, 2009.
Tesla’s IPO comes at the height of consumer awareness for green technology and environmental friendliness. And with cash infusion from shareholders, Tesla could thrive if consumers quickly adopt emission-free motor vehicles.
In the filing, the company warned that, “We have a history of losses and we expect significant increases in our costs and expenses to result in continuing losses for at least the foreseeable future.”
“Our growth is highly dependent upon the adoption by consumers of, and we are subject to an elevated risk of any reduced demand for, alternative fuel vehicles, generally, and electric vehicles in particular,” its filing stated. “If consumers do not adopt electric vehicles, our business, prospects, financial condition, and operating results will be harmed.”
As of Dec. 31 Tesla had unfilled reservations for 220 Tesla Roadster models, and approximately 2,000 Model S sedans in its fulfillment log. But after 2011, the company does not expect to make any more Roadster models, due to a change at a key supplier.
“We do not plan to sell our current generation Tesla Roadster after 2011 due to planned tooling changes at a supplier for the Tesla Roadster,” Tesla said in the filing with the SEC.
The Roadster is currently assembled at a plant in Hethel, U.K. owned by Lotus Cars.
The IPO was for up to $100 million in common stock, sold after the markets closed on Friday afternoon. The IPO will pave the way for Tesla to become a publicly traded company with the wherewithal to massively expand its current research and development capabilities.
The Palo Alto-based automaker was widely known for its all-electric Roadster, a sports car retailing for $109,000. It is currently the only model Tesla sells, but the company is currently developing a four-door sedan, called the Model S, which retails for less than $50,000 after tax credits.
The U.S. Department of Energy gave Tesla a $465 million loan last summer to help the company develop the Model S.
According to a form S-1 filed with the U.S. Securities and Exchange Commission on Friday, Tesla has sold 927 Roadster vehicles as of Dec. 31, 2009, all to U.S. and European customers. But the company remains unprofitable to this day—it lost $82.8 million in 2008, and lost $31.5 million in the nine months that ended Sept. 30, 2009.
Tesla’s IPO comes at the height of consumer awareness for green technology and environmental friendliness. And with cash infusion from shareholders, Tesla could thrive if consumers quickly adopt emission-free motor vehicles.
In the filing, the company warned that, “We have a history of losses and we expect significant increases in our costs and expenses to result in continuing losses for at least the foreseeable future.”
“Our growth is highly dependent upon the adoption by consumers of, and we are subject to an elevated risk of any reduced demand for, alternative fuel vehicles, generally, and electric vehicles in particular,” its filing stated. “If consumers do not adopt electric vehicles, our business, prospects, financial condition, and operating results will be harmed.”
As of Dec. 31 Tesla had unfilled reservations for 220 Tesla Roadster models, and approximately 2,000 Model S sedans in its fulfillment log. But after 2011, the company does not expect to make any more Roadster models, due to a change at a key supplier.
“We do not plan to sell our current generation Tesla Roadster after 2011 due to planned tooling changes at a supplier for the Tesla Roadster,” Tesla said in the filing with the SEC.
The Roadster is currently assembled at a plant in Hethel, U.K. owned by Lotus Cars.
