Abu Dhabi’s Aabar takes a stake in electric car maker Tesla
14 Jul 2009
Daimler AG, the maker of the famed Mercedez–Benz vehicles has sold part of its 10 per cent stake in electric-car manufacturer Tesla Motors Inc to Aabar Investments PJSC. The move marks the entry of its largest shareholder into a venture to develop alternative powering systems.
Aabar will hold almost 4 per cent of the San Carlos, California-based Tesla. It bought the stake as required under an agreement on increasing cooperation with Daimler after the investment company bought stock in the German car maker in March, according to a joint statement the companies released today.
Aabar chairman Khadem Al Qubaisi said in the statement that the partnership with Daimler was entered with an objective, ''a desire to focus on the development of electric vehicles and projects aiming at the reduction of carbon dioxide emissions.''
Daimler had bought the little under-10 per cent stake in Tesla for a ''double-digit million-euro'' sum in May. The world's second-largest maker of luxury cars reiterated that it would install Tesla's lithium-iron battery packs and charging equipment in 1,000 in the electric versions of its Smart car.
Aabar, controlled by the emirate of Abu Dhabi, acquired a 9.1 per cent stake in Daimler for €1.95 billion buying 9.4 million new shares taking its stake past Kuwait's as the car maker's largest stockholder. The Stuttgart-based car maker said at that time that Aabar's purchase would ensure independence of the manufacturer while building up resources for development of fuel-efficient technology.
The companies said that the deal would allow them to build on their share interests in low-emission vehicles. The middle-east emirate is seen to be increasing leveraging its oil wealth to position itself as a clean energy centre.
