Panasonic pumps $30 million into Tesla


This article was originally on a blog post platform and may be missing photos, graphics or links. See About archive blog posts.

Tesla Motors Inc. shares are doing well Thursday after Panasonic Corp., which makes rechargeable batteries among its many products, bought a $30-million stake in the electric car company.

Panasonic, based in Osaka, Japan, paid $21.15 a share Wednesday in a private placement, Palo Alto-based Tesla said in a statement. Panasonic now holds about a 2% stake in the company. In afternoon trading in New York, Tesla shares jumped 13%, or $2.83, to $24.60.


Last week, Tesla opened the doors to its Fremont, Calif., factory, where it will build its $57,400 Model S sedan and future vehicles. The auto assembly facility had closed its doors in April, right before Tesla bought it in May.

The start-up also makes the $109,000 electric Roadster. The company has a partnership to develop next-generation lithium ion batteries with Panasonic and currently uses Panasonic technology for advanced battery packs in the Roadster.

The Japanese electronics giant joins investors including Daimler and Toyota, which fed $50 million into Tesla earlier this year. The start-up’s much-anticipated initial public offering in June pushed its stock up 40% in the first day.

-- Tiffany Hsu