Tesla Feels the Bond Market Love in Debut Sale to Fund Model 3

Debt investors proved no more immune to Elon Musk’s charms than their swooning counterparts in the stock market.

Musk’s electric-car maker Tesla Inc. raised $1.8 billion in its debut bond sale on Friday, boosting the amount by $300 million to meet demand. The eight-year bonds were priced at a record-low yield of 5.3 percent -- a touch higher than initial talk of 5.25 percent. They’ll help fund the ambitious rollout of the Model 3, the linchpin of Musk’s plans to turn Tesla into a mass-market vehicle maker.