Tesla Increases Size of Stock Offering 60%

Tesla Motors Inc. has boosted the size of its upcoming stock sale to 6.9 million shares from the 4.3 million units previously planned.

The Palo Alto, Calif.-based electric car maker also set a price of $28.25 per share for the offering, which is scheduled for Wednesday.

Tesla says it expects to receive proceeds of $193 million after underwriting fees or as much as $222 million if underwriter Goldman Sachs & Co. exercises its 30-day option to purchase as many as 1 million additional shares. The company says it will use the funds for general corporate purposes.

CEO Elon Musk, who owns 26% of the company, has said he will spend as much as $1 million to purchase as many as 35,400 of the shares being offered.