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CEO Elon Musk confirmed in a regulatory filing late Monday that he purchased $25 million of his company’s stock in a public offering last week.
The electric-car maker’s offering of 3,086,419 shares was priced at $243 each last week. Musk had shown “preliminary interest” in purchasing up to 102,880 of Tesla’s offered shares for a total of $25 million through a trust that he controls.
He bought the shares on Thursday, May 2. A form that Musk filed with the Securities and Exchange Commission shows that he now owns 33,927,560 Tesla shares through the trust.
This is Musk’s first purchase of Tesla stock (ticker: TSLA) this year, and he’s buying at a cheaper price than he did last year. Musk bought a total of $44.8 million of Tesla stock on the open market in 2018, paying an average per-share price of $330.80 for 135,344 shares, Barron’s calculates.
Tesla’s latest stock offering could be expanded up to 3,549,381 if underwriters use their options to purchase additional shares. Tesla said it would use proceeds from the stock offering and a concurrent $1.60 billion offering of senior notes (that could be expanded to $1.84 billion) “to further strengthen our balance sheet, as well as for general corporate purposes.”
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