Elon Musk's SpaceX said to consider merger with Tesla, Bloomberg News reports
Elon Musk's SpaceX is reportedly considering a merger with Tesla and discussions with AI company xAI, according to Bloomberg News. Following the news, Tesla's shares rose by 3%. The potential merger aims to consolidate Musk's ventures, including rockets, Starlink, and the X platform, ahead of a significant public offering. Investors are showing interest in the feasibility of this tie-up, which could attract substantial funding from infrastructure and Middle Eastern sovereign investors. SpaceX and Tesla have not commented on the matter.
Jan 29 (Reuters) -
Elon Musk’s SpaceX is considering a potential merger with Tesla (TSLA.O) as well as an alternative combination with artificial-intelligence company xAI, Bloomberg News reported on Thursday, citing people familiar with the matter.
Tesla’s shares were up 3% after the bell following the report.
SpaceX and xAI are in discussions to merge ahead of a blockbuster public offering planned for later this year, Reuters exclusively reported earlier on Thursday, to bring Musk’s rockets, Starlink satellites, the X social media platform and Grok AI chatbot under one roof.
The space firm has discussed the feasibility of a tie-up between SpaceX and EV-maker Tesla, an idea that some investors are pushing, the Bloomberg report said.
Any deal could attract sizeable interest from infrastructure funds and Middle Eastern sovereign investors, some of the people told Bloomberg.
SpaceX and Tesla did not immediately respond to Reuters requests for comment.
