Musk called a possible merger of Tesla and SpaceX 'a good idea' with 'a lot of merit' on an October 20 call about SpaceX's third-quarter results, and Tesla shares rose about 3.4% the next day. Special committees at both companies are reviewing the deal, which would need shareholder approval, including more than 50% of all Tesla shareholders; Musk owned about 20% of the shares as of Sept. 30. The combined company would be a $3.5-trillion behemoth, America's fifth-largest by market value according to Reuters. The author argues that benefits from such mergers typically flow to insiders, pointing to the 2016 Tesla-SolarCity deal, after which Tesla shares fell more than 10% the day after it was announced.
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TSLAmergers and acquisitionsElon MuskSpaceX
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Related tickers and likely impact
TSLA
▼ Likely negativeTesla, Inc.
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Automobile Manufacturers |
| Market cap | $1.5T |
| Close on 10/26/2026 | 391.69 |
| Change that session | +5.23% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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