Billionaire investor George Soros invested in Tesla back in 2013, but he sold his position just a year later. Now his latest 13F filing shows that he is back with a new stake in the electric automaker.
Soros’s initial investment of $17 million would be considered relatively small when you compare it to his total net worth estimated at ~$25 billion.
His latest investment in Tesla is even smaller. Soros bought 2,500 notes for about $2.15 million.
The move is a long-term call in Tesla (TSLA). Soros’s fund will collect $12.50 per note per year in interest and if Tesla stays solvent through 2021, Soros will be able to exchange his notes for either $1,000 or 2.78 shares, whichever is worth more.
Tesla’s stock lost about 12% since the unveiling of the Model 3 at the end of March. Despite the relatively small size of the investment, it’s still a show of confidence in Tesla from the Soros Fund.
Featured image: Billionaire George Soros, founder of Soros Fund Management LLC, attends a forum in Hong Kong, China, on Friday, April 5, 2013. Photographer: Jerome Favre/Bloomberg