Tesla To Sell $1.5 Billion In Debt To Boost Balance Sheet

Tesla Inc. said Monday that it will sell $1.5 billion worth of debt to help shore up its balance sheet. The electric-car maker said it will sell senior unsecured debt obligations set to mature in 2025. "Tesla intends to use the net proceeds from this offering to further strengthen its balance sheet during this period of rapid scaling with the launch of Model 3, and for general corporate purposes," the company said. As of June 30, Tesla had total debt of $8.10 billion, according to recent filings. Shares of Tesla were trading modestly higher in premarket action, after finishing up 6.5% last week, the best weekly gain since April. Quarterly results and the launch of production on its lower-priced Model 3 have been a boost for shares. The stock has soared 67% year to date through Friday, while the S&P 500 has gained 10.6%.