Tesla will be picking up an additional $2.6 billion in long-term debt, and only $413 million in cash, if the deal completes. They'll also pick up the interest tab at about $120+ million per year in fresh red ink.
It'll bring Tesla's total long-term debt up to $5 billion or so, and push their net tangible assets negative. They'll likely get some debt downgrades out of this.
It'll bring Tesla's total long-term debt up to $5 billion or so, and push their net tangible assets negative. They'll likely get some debt downgrades out of this.