Elon Musk is weighing a merger between Tesla and SpaceX, a move that would represent the largest corporate combination in history. Musk, who serves as the CEO of both companies, confirmed the possibility by saying, "Yes."
David Nicholson suggested the merger is almost certain, stating, "In my opinion, 100%. It's just a question of when." Musk noted there is "a lot to be gained" from the union, but acknowledged that securing the necessary shareholder votes is "quite a high hurdle."
SpaceX shares increased by 8% in after-hours trading following the news, while Tesla shares rose by 1.5%. Nicholson added, "I honestly don't think Musk will be keeping track of what the merger will do for his wealth."
The billionaire became the world's first trillionaire earlier this year, following a period where Tesla investors approved a compensation package for him worth roughly $1 trillion. Recent developments include Tesla unveiling the Roadster last week, which uses SpaceX rocket thrusters for power.
Tesla also began using a California plant to manufacture Optimus humanoid robots, while the company previously stated it would focus on the Model Y and Model 3. SpaceX also acquired X and xAI, with X going public this year.
BYD surpassed Tesla in January to become the largest electric vehicle manufacturer globally, as the US prepares for midterm elections next month.
