Elon Musk bought 72,500 shares of Tesla's common stock stock worth over $25 mn

Reuters
Elon Musk is already the electric car maker’s largest shareholder and now owns 33.74 million shares worth about $11.6 billion.

Tesla Inc Chief Executive Officer Elon Musk bought 72,500 shares of the company's common stock, a regulatory filing showed on 13 June.

Musk bought the shares between $342.44 and $347.44 per share in multiple transactions on 12 June and 13 June.

He is already the electric car maker's largest shareholder and now owns 33.74 million shares worth about $11.6 billion.

Tesla, which continues to burn through cash as it spends on its assembly line and prepares for new investments on projects, is cutting several thousand jobs seeking to reduce costs and become profitable without endangering the critical production ramp-up for its Model 3 sedan.

Tesla has been trying to hit a 5,000 per week production target of its Model 3 sedans after facing initial production hiccups.

Noted short seller Jim Chanos of Kynikos Associates said in an interview on CNBC that he continues to short Tesla's shares.

"The company will pull out all the stops, it will do a lot of one-time items, we believe, to show a GAAP profit in the third quarter. But they are just that, one-time items," Chanos said.

"The basic problem is that he is making cars at not enough of a gross margin to make money, and that's before the competition rolls out, which is late this year and early next year."

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