Aabar pulls out of Daimler investment in Tesla

Abu Dhabi investment fund takes step toward exiting interest in electric car maker
Aabar pulls out of Daimler investment in Tesla
The Tesla Model S Signature is shown during a media preview day at the 2012 North American International Auto Show. (Getty Images)
By Reuters
Wed 27 Jun 2012 07:09 PM

Abu Dhabi's Aabar took a step towards exiting its investment in electric car maker Tesla after partner Daimler confirmed it transferred direct control of a 3.1 percent stake in Tesla back to the sovereign wealth fund.

One person familiar with the situation said that Aabar would likely cash in on its stake, bought together with Daimler before Tesla went public.

"Daimler was informed very early and at their request we transferred their part of the jointly held stake in Tesla back to them," a spokesman for the company said on Wednesday, confirming news reports earlier this week.

Daimler itself continues to hold its share of the stake in Tesla, equivalent to nearly 4.7 percent of the outstanding stock.

Tesla is supplying the electric powertrain for a battery-powered Mercedes B-Class compact car under development.

For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.