Panasonic sells entire stake in Tesla for $3.6b

FILE PHOTO: A logo of Panasonic Corp is pictured at the Combined Exhibition of Advanced Technologies at the Makuhari Messe in Chiba, Japan, October 2, 2017. REUTERS/Toru Hanai/File Photo

Panasonic Corp sold its stake in electric car maker Tesla Inc for about 400 billion yen ($3.61 billion) in the year ended March, a spokesperson for the Japanese company said on Friday.

The sale comes as the bicycles to hair dryers conglomerate is seeking to reduce its dependence on Tesla and raise cash for investing in growth.

Panasonic‘s battery business is dominated by Elon Musk’s Tesla, but the two firms have had at times a tense relationship with executives trading barbs publicly.

Panasonic bought 1.4 million Tesla shares at $21.15 each in 2010 for about $30 million. That stake was worth $730 million at the end of March 2020. Shares have gained almost seven fold since then and closed up 3.5% at $679.82 apiece on Thursday.

The stake sale will not affect the partnership with Tesla, the Panasonic spokesperson said, but comes as the automaker is moving to diversify its own battery supply chain.

Panasonic said earlier this year it would buy the shares of U.S. supply-chain software company Blue Yonder that it does not already own, in a $7.1 billion deal.

Panasonic shares were up 4.5% on Friday, on track for their biggest daily rise since January.

Reuters

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.