Tesla investors should be nervous right now. The company faces a looming $1 billion debt deadline on Friday. The repayment will wipe out a third of Tesla’s cash reserves instantly. But it gets worse. Tesla is reportedly about to take on a further $2 billion in loans to fund its new gigafactory in China. The situation is gloomier still. Elon Musk bought a mountain of Tesla shares with borrowed money. And he put up other TSLA shares as collateral. The company even admitted in a recent filing that this move could kill the stock price. Tesla is a House of Cards
The post Tesla’s Catastrophic Debt Addiction Should Terrify Investors appeared first on CCN
source https://www.ccn.com/tesla-debt-should-terrify-investors
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