Despite the FTC’s permission for Tesla to acquire SolarCity, there are still hurdles to overcome, namely a majority vote of approval by disinterested shareholders, and the ending of SolarCity’s “go-shop” period.
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The deal was expected to be approved, and Reuters reported that regulators fast-tracked the merger, along with a number of other, lower-profile mergers in which the two companies seeking to merge did little overlapping business. The solar company accepted the deal a few weeks ago.
Given the said improvements, the P100D version of the Model S according to a CNBC news article will have a starting price of $134,500 and the price of Model X P100D will start at $135,500.
In addition, the SolarCity filing showed CEO Lyndon Rive and Chief Technology Officer Peter Rive, Musk’s cousins, buying another $17.5 million each of the $124 million offer. According to the CEO, this merger deal is likely to speed up the automaker’s transition from just being an electric auto maker to a fully integrated, renewable energy products company, which will not only consists of electric cars but other energy products as well. In the sale call with reporters, Musk admitted that he has no idea how numerous current Tesla customers have solar panels on their rooftops, but suggested majority would be interested in such renewable solutions, perhaps by association with electric vehicles.
Tesla’s Innovations are transforming the world of Automobile industry, says Forbes, as it ranks Elon Musk’s company at the top in the Global list of most Innovative companies.
In the first quarter of 2016, SolarCity posted a $251 million loss.
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The cuts include 108 employees at offices in San Francisco and San Mateo. Following the completion of the sale, the vice president now owns 12,292 shares of the company’s stock, valued at $2,838,468.64. It employs about 13,000 workers to serve 285,000 customers. The company has quietly confirmed that it has raised the price of its Autopilot driver assistance software by 20 percent. Tesla Motors, Inc. P/E (price to earnings) ratio is 0 and Forward P/E ratio of 131.56.
