DETROIT (AP) — Tesla said that is selling $2 billion worth of additional stock, that its U.S. revenue fell last year and that securities regulators are scrutinizing its finances.
All of the developments Thursday were disclosed in filings with U.S. Securities and Exchange Commission, which in December subpoenaed financial data and contracts, including the company’s financing arrangements.
The Palo Alto, California, company’s shares jumped 3.7% despite the disclosures and the additional 2.65 million shares that could dilute the value of the 180 million shares now on the market.
The surprise sale taps into Tesla’s rocketing stock price over the past eight months, but comes just two weeks after CEO Elon Musk said the company had enough cash to fund its capital programs and it didn’t need to raise any more money.
In a prepared statement, Tesla said Musk will buy $10 million worth of the stock while billionaire Board member and Oracle co-founder Larry Ellison will buy shares worth $1 million.