Tesla announced that they will be issuing $1.5 billion more in debt in order to ramp up Model 3 production and they brought the big guns to sell the new bonds on Wall Street – a brand new Model 3.
Since the proceeds from the notes will be used to build the vehicle, what better way to get people to invest than to get them in the vehicle – especially since it has been so well-received so far following the first test drives and the launch event.
Consequently, it’s also the production Model 3’s first official outing on the east coast and anywhere outside of California really.
Tesla is expected to concentrate deliveries in California for the first few months of production until it can increase the volumes.
Therefore, bondholders on Wall Street get an early preview of the car that people on the east coast won’t get to see until the end of the year.
Tesla and Goldman Sachs, who is running the new bond issuance, held a private viewing of the Model 3 in Manhattan today. New friend of the site Brad was at the event and shared a few pictures:
The company is also bringing the Model 3 to Boston as part of their tour for the bond issuance.
While the verdict from Wall Street is not out yet, Morgan Stanley seems to be liking the car. Analyst Adam Jonas wrote in a new note:
“Who doesn’t want one? While we have not conducted a statistically significant survey, we have spoken with dozens of Morgan Stanley colleagues and clients of the firm. The people we talked to really want this car. They want a cool and reasonably affordable electric car. Many like that it is a big ticket electronic device made in America.”
Some Tesla salespeople in stores have told Model 3 reservation holders that they are expecting test vehicles in the coming months in order to hold test drive events.