Daimler AG (stock exchange symbol: DAI) has reorganized its agreement with Tesla Motors Inc. Daimler sold its stake in Tesla of approximately 4% and as a result terminated the share price hedge that it originated in 2013 that was no longer needed. The two companies will continue their cooperation on the automotive projects. The development work for the Mercedes-Benz B-Class Electric Drive is completed and Daimler will continue to source the powertrain for that vehicle from Tesla.
The sale of Daimler’s stake in Tesla will result in a cash inflow of around$780 million, which will be used to strengthen Daimler’s operational business. The impact on EBIT for the year 2014 is approximately in the same amount.
“We have supported Tesla as a startup company for many years and have learned a lot from Tesla. At the same time, Tesla was able to profit from our automotive expertise. The cooperation with Tesla is one component of our activities in the field of electric mobility. It optimally complements our involvement in Deutsche ACCUmotive,” explained Prof. Dr. Thomas Weber, member of the Board of Management of Daimler AG for Group Research & Mercedes-Benz Cars Development.
Daimler has the industry’s biggest portfolio of electric vehicles, from cars and vans to buses and light trucks: smart electric drive, Mercedes-Benz A-Class E-CELL, B-Class Electric Drive, B-Class F-CELL, SLS AMG Coupe Electric Drive, Vito E-CELL, Mercedes-Benz Citaro FuelCELL-Hybrid, Fuso Canter E-CELL and Freightliner Custom Chassis MT E-CELL All-Electric. Systematic hybridization is also a fixed element of Daimler’s powertrain strategy. In 2014, Mercedes-Benz sold more automobiles with hybrid drive than all other German manufacturers combined. The focus will continue to be on plug-in hybrids in the coming years. By the year 2017, Mercedes-Benz Cars will launch ten new plug-in hybrid models in all market segments.
Daimler initially acquired a 9.1% interest in Tesla in May 2009. 40% of that investment was transferred to Aabar Investments PJSC in the context of a joint strategic project in July 2009. Tesla has been listed on the stock exchange since the end of June 2010. As a result of capital increases at Tesla, Daimler’s stake in the company decreased to around 4%, without affecting the two companies’ strategic cooperation or joint development projects.