Tesla raises borrowing capacity for car leases to $1.1 billion

Tesla raises borrowing capacity for car leases to $1.1 billion
Above, Tesla introduces one of the first Model 3 cars off the Fremont factory’s production line during an event at the company’s facilities in Fremont, California on July 28, 2017. (Reuters)
Updated 21 October 2017

Tesla raises borrowing capacity for car leases to $1.1 billion

Tesla raises borrowing capacity for car leases to $1.1 billion

BENGALURU: Tesla said on Friday it has increased its borrowing capacity for a car lease program to $1.1 billion from $600 million.
The move comes as the electric car maker spends heavily to fix production bottlenecks of its new Model 3 sedan.
The company increased the borrowing capacity under certain warehouse agreements, the company said in a filing. A spokesman said it was related to Tesla’s car lease program.
In August, Tesla said it would raise about $1.5 billion through its first-ever offering of junk bonds as it seeks fresh sources of cash to ramp up production of its new Model 3 sedan.