Tesla Signs $100 Million Deal to Supply Toyota RAV4 EV Electric Powertrains

Clearing up erroneous reports, Toyota has confirmed it will sell the RAV4 EV to the public and has just singed a deal with Tesla Motors Inc. to supply the electric powertrains for the emissions free crossover.

Valued at $100 million it looks as though Tesla might actually be on the right track towards making a profit, especially with stock shares spiking 5 percent on the news. Toyota previously signed a contact with Tesla worth $60 million in order to develop the electric battery packs for the ‘ute, which debuted at the LA Auto Show last year.

The RAV4 EV is expected to go on sale as early as the first quarter of 2012.

GALLERY: Toyota RAV4 EV

[Source: Automotive News]