The two companies intend to form a team to further those efforts. TMC has agreed to purchase $50m of Tesla’s common stock issued in a private placement to close immediately subsequent to the closing of Tesla’s currently planned initial public offering.
Akio Toyoda, president of TMC, said: “I’ve felt an infinite possibility about Tesla’s technology and its dedication to monozukuri (Toyota’s approach to manufacturing).
”Through this partnership, by working together with a venture business such as Tesla, Toyota would like to learn from the challenging spirit, quick decision-making, and flexibility that Tesla has. By partnering with Tesla, my hope is that all Toyota employees will recall that ‘venture business spirit’, and take on the challenges of the future.”
Elon Musk, CEO and co-founder of Tesla, said: “Toyota is a company founded on innovation, quality, and commitment to sustainable mobility. It is an honor and a powerful endorsement of our technology that Toyota would choose to invest in and partner with Tesla.”
Tesla said that its goal is to produce affordable electric cars to mainstream buyers – driving down the cost of EVs.
