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Tesla Pops on GM Rumor (Update 1)

Tickers in this article: GM TSLA
Updated to include second Musk tweet about battery swapping.

NEW YORK (TheStreet) -- Tesla Motors shares rose 1.44% to $103.68 after market rumors suggested that General Motors would start to license some of Tesla's technology for its vehicles.

The unsubstantiated rumors did not mention what technology GM would license in the deal. It is worth noting that Tesla has deals with both Daimler and Toyota Motors to build power trains for both companies.

Tesla spokeswoman Shanna Hendricks said the company does "not comment on rumours or speculation."

Shares of GM were higher in Tuesday trading, up 0.8% to $34.00.

Tesla has kept up the positive press recently, and this week is shaping up to be no different. The Palo Alto, Calif.-based electric car company is going to demonstrate battery-swapping later this week, trying to help alleviate worries about consumers and "range anxiety."

CEO Elon Musk has long said the battery pack could be removed easily mid-journey, and the company plans to demonstrate just that. In a tweet, Musk announced the battery swapping demonstration will take place Thursday night at the company's design studio.

In a separate tweet, Musk noted the technology for battery-swapping works with all Model S vehicles, and the technology "was always there."

--Written by Chris Ciaccia in New York

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