Tesla to Seek Additional Funding for an Electric SUV Model

Tesla is still hard at work on its second model, the Model S sedan, but the company is reportedly also thinking about adding a third model to its lineup. Currently Tesla offers the roadster electric vehicle, but Tesla may soon seek additional funding to help it produce a third electric model, the Model X, which would ben electric powered SUV type of vehicle.

The Model X would use the same powertrain as the Model S sedan.

“We do have enough capital to reach cash-flow positive without raising another dollar,” Musk said on an earnings call. “There’s a decent chance we will raise a secondary for the Model X activity and some additional potential headroom growth on the Model S production.”

Tesla currently has 4,600 reservations for the Model S, which requires a down payment of $5,000. Pricing for the base 160-mile range Model S is expected to start at $49,900 after the $7,500 federal tax credit. The model that can travel up to 230 miles on a single charge costs $10,000 more and the top model with a 300 mile range starts at $74,400 before any tax credits.

Full Story: Venture Beat

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