Tesla Arranges Over $1.4 Billion in Financing From China
(Bloomberg) -- Tesla Inc. has lined up more than 10 billion yuan ($1.4 billion) in financing from local banks for its Shanghai factory as it prepares to begin deliveries of China-made Model 3 sedans in the country, people familiar with the matter said.
An announcement will probably be made as soon as this week, one of the people said, asking not to be identified discussing a private matter. Tesla shares rose 2.8% to $416.87 shortly after the open of regular trading.
Chief Executive Officer Elon Musk is counting on the China plant to help build on recent momentum for the company in the world’s largest market both for electric vehicles and autos in general. Tesla’s new-car registrations in China climbed to a five-month high of 5,597 in November, compared with 393 a year earlier, according to state-backed China Automotive Information Net.
Reuters reported on the financing earlier Monday. Tesla representatives didn’t immediately respond to requests for comment.
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