WASHINGTON -The company owned by Elon Musk, Boring Co said on Monday (16/4/2018) it had raised $ 112.5 million in equities, with 90% coming from Musk itself, as the company sought to build underground tunnels for its hyperloop transport project.
In regulatory filing, the company recorded 31 unnamed investors as participants in the funding round. In addition to Musk, the remaining investors are Boring employees, according to the company.
Musk, who also leads electric vehicle maker Tesla Inc. (TSLA.O) and SpaceX rocket company, is trying to revolutionize transport by sending packaged passengers into a pod through a giant intercity system, an underground vacuum tube known as a hyperloop. Forbes magazine estimates Musk’s net worth of $ 19.3 billion.
The funding came about five months after Musk said Boring Co would compete to fund, build and operate a “loop” to connect downtown Chicago with O’Hare Airport. Musk previously sold Boring Co and Flamethrowers to raise funds.
The company says the tunnel excavation project can cost up to $ 1 billion per mile, but the goal is to lower this cost by a factor of 10 or more.
In October, the Maryland Department of Transportation granted “conditional approval for tunnel construction from Baltimore to Washington” to the project by issuing a utility license.
Last month, six members of the Democratic Congress from Maryland and Washington wrote a letter to Maryland Governor Larry Hogan to seek information about state support for the proposed Hyperloop Project, including the applicable regulatory standards.
“While Hyperloop is an exciting project that has the potential to transform transportation throughout the entire East Coast of the US, it is also a project that will leverage completely new technologies and can have a significant impact on our constituents,” the members wrote.