Two Tesla Inc (NASDAQ:TSLA) executives are preparing to launch a new reusable materials startup, according to an SEC filing spotted by CB Insights.
The filing lists Tesla Chief Technology Officer J.B. Straubel and Tesla’s head of Special Projects Andrew Stevenson as chief executive of the materials recycling company called Redwood Materials.
Redwood Materials is a Redwood City, California-based company that plans to focus on recycling, re-manufacturing, and re-using materials, Business Insider reported.
“Advanced technology and process development for materials recycling, remanufacturing, and reuse,” the company says on its website.
According to the SEC filing, Redwood Materials secured $2 million in funding from a single undisclosed investor in April.
This is all the information that is available about Redwood Materials at this time.
Is There is a Link Between Tesla and Redwood Materials?
Redwood Materials did not disclose any direct link with Tesla in its filing.
We know that Tesla Inc (NASDAQ:TSLA) is working to improve its manufacturing process to meet its production goals. Last year, the electric-car maker acquired German firm Grohmann Engineering that specializes in automated manufacturing. The company listed “re-thinking the materials supply chain” as one of its focus areas in a March 2017 keynote.
According to CBInsights, materials efficiencies could be key to Tesla’s effort as the company is looking to scale its manufacturing.
But a report from The Verge suggests that it is very likely that Redwood Materials has no direct relationship with Tesla Inc (NASDAQ:TSLA). According to the report, Straubel has a track record of investing in companies without any connection with Tesla.
Tesla is set to report its first-quarter earnings today after the market close. The company is expected to provide information about Redwood Materials (if it has a link with the startup) in its earnings call.
Meanwhile, shares of Tesla Inc (NASDAQ:TSLA) were down 1.77% in the morning trading session. The stock is up more than 46% so far the year.
