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Tesla Ups IPO Prediction Over $170 Million

With the news of an initial public offering from General Motors, followed up by one from Tesla, are there signs that the economy is bouncing back?

Well, not quite yet.

Tesla, which has lost money hand over fist since inception, believes it can make an IPO of $178 million, up from a January estimate of $100 million. The automaker plans to sell just over 11 million shares, at $14 to $16 each, and will be bolstered by a $50 million investment from Toyota.

Currently, Tesla's earnings stand at $147.6 million, since 2003, contrasted against losses of more than $290 million. So far, the money comes from the sales of its one offering, the Tesla Roadster, though Tesla has teased a sedan, the Model S.

Tesla is also reportedly working on a sedan, in collaboration with Toyota, that will compete in the $50,000 range. We've already reported on the two brands working together, and are curious to see if Tesla can make good on the deal.

Source: Detroit News and Automotive News (Subscription required)

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