Tesla says may seek alternative financing sources

April 29, 2019

(Reuters) – Tesla Inc said on Monday it could seek alternative financing sources although it expects cash generated from its business would be enough to fund its investments and pay down debt.

“We continually evaluate our capital expenditure needs and may decide it is best to raise additional capital to fund the rapid growth of our business,” the electric car maker said in a regulatory filing https://www.sec.gov/Archives/edgar/data/1318605/000156459019013462/tsla-10q_20190331.htm.

Wall Street has been looking for more information after Chief Executive Elon Musk suggested last week that a capital raise could be imminent, after the electric vehicle maker lost $700 million in the first quarter.

“There is some merit to raising capital,” Musk said on a conference call on Wednesday, after being asked why he had not done so yet. “It’s probably about the right time.”

(Reporting by Supantha Mukherjee in Bengaluru; Editing by Shailesh Kuber)

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