Bond In­vestors Give Tesla a $1.8-B En­dorse­ment

The Economic Times - - Around The World -

New York: Bond in­vestors on Fri­day gave a $1.8 bil­lion boost to Tesla Inc’s bal­ance sheet by snap­ping up the elec­tric car maker’s first foray into the US junk bond mar­ket, where yield-hun­gry in­vestors have raced to lock in rel­a­tively higher re­turns. Those ro­bust re­turns, how­ever, have shrunk as a strong reser­voir of cash ready to de­ploy in the riski­est ar­eas of the high-yield fixed in­come mar­ket has pushed them to near their low­est lev­els in three years. That has given junk-rated is­suers such as Elon Musk’s US car com­pany the opportunity to raise cash cheaply. Reuters

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.