Mercedes' Parent Company Daimler Acquires 10% Stake in Tesla Motors - Automotive News

Turns out that the yesterday's rumors were spot on as Mercedes-Benz' determine company, Daimler AG, introduced today in a press conference in Stuttgart that the German corporation has acquired an fairness stake of almost 10 percent of Tesla Motors. The two companies which have already sealed a deal to integrate Tesla's lithium-ion battery packs and charging electronics into the primary 1,000 gadgets of the electric Smart vehicle, said that new partnership will allow them to work even extra carefully on the improvement of battery structures, electric pressure structures and in individual vehicle projects.

As part of the deal among the 2 companies, Prof. Herbert Kohler, Vice President E-Drive and Future Mobility at Daimler AG, will sit down on Tesla's board of administrators.

"Our strategic partnership is an vital step to boost up the commercialization of electric drives globally," said Dr. Thomas Weber, Member of the Board of Daimler AG, answerable for Group Research and Mercedes-Benz Cars Development.

Tesla CEO Elon Musk said that the lithium-ion pouch-cellular battery advanced via Daimler and particularly designed for car applications is of hobby to the California-based totally enterprise that lately unveiled the all-electric powered Model S sports sedan which is scheduled to enter the market in 2011.

"We are searching forward to a strategic cooperation in a number of regions such as leveraging Daimler's engineering, production and supply chain know-how. This will boost up bringing our Tesla Model S to production and make sure that it's miles a superlative automobile on all ranges," said Musk.