SpaceX and Tesla Boards Form Special Committee to Review Merger
SpaceX and Tesla boards have each formed special committees of independent directors to review a potential merger. Musk stated the committees were established at shareholders' request and that he would not participate in discussions due to a conflict of interest; the two parties have not yet agreed on the deal's terms. Tesla's merger requires approval from 50% of all shareholders.
SpaceX and Tesla Boards Form Special Committees to Review Merger
The boards of SpaceX and Tesla have each established special committees composed of independent directors to review a potential merger. Musk stated that the committees were formed at the request of shareholders and that he would not participate in the discussions due to a conflict of interest. The two parties have not yet reached an agreement on the terms of the transaction.
Musk supports the idea of a merger but has noted that the deal is not a done deal and will ultimately require shareholder approval. It would be relatively straightforward for SpaceX shareholders to vote in favor, whereas Tesla would need to secure 50% of the votes from all its shareholders.
Source: TechCrunch
