Sealing the deal

Just yesterday, Tesla's $2.6-billion acquisition of solar energy technology company SolarCity took another step forward on its way to final approval — it reportedly secured sign off from the respective companies' shareholders.

The merger was initially proposed by Tesla CEO Elon Musk in June, and shareholders expect the deal to close in the next few days. According to a blog post from Tesla, "Excluding the votes of Elon and other affiliated shareholders, more than 85% of shares voted were cast in favor of the acquisition. With SolarCity’s shareholders also having approved the acquisition, the transaction will be completed in the coming days."

SolarCity was founded by cousins of Musk, who himself sits as the solar tech company's chairman of the board. Upon receiving the favorable vote, he told Tesla's investors, "Your faith will be rewarded."

Living under the same roof. Tesla and SolarCIty merger to be finalized "in the coming days." Credits: Tesla

Serious about clean energy

While the acquisition may initially seem like it would financially benefit SolarCity more than Tesla, it presents the latter company with greater opportunities to develop clean energy technology. Even before the shareholder approval, the two companies had already been working on several projects together, including Tesla's plans to incorporate SolarCity's solar roof technology into its electric vehicles.

Tesla has repeated emphasized its mission to usher us into a world that is more sustainable, free of fossil fuels, and less expensive. "Tesla’s acquisition of SolarCity is an important part of creating this future," the company said in a November 1 post. "The acquisition will enable us to transform into a truly integrated sustainable energy company capable of developing, producing, selling, installing, and servicing these products in the most seamless way possible."

Tesla's already leading the race for electronic vehicles and is about to finish the largest battery factory in the world. A future of electric vehicles, solar-powered homes, and more efficient battery technology — that is what Tesla hopes to bring to the world, and acquiring SolarCity leaves the company better equipped to create that possible future.


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