Daimler And Tesla Motors Sign Equity Collar Agreement


News: Germany-based automaker Daimler and US-based manufacturer of electric vehicles and electric vehicle powertrain components Tesla Motors have entered into an equity collar agreement. Under the terms of the agreement, Daimler, which owns a 4% stake in Tesla, will continue to hold Tesla's securities for the next three years. The transaction will not only permit Daimler to retain considerable participation in any additional appreciation of Tesla's share price, but also protect the value of Daimler's shareholding in Tesla.

This article is tagged to:
Sector: Autos
Geography: Germany