Elon Musk has put in an offer to acquire SolarCity. If the offer is accepted, Tesla would become an integrated energy company virtually overnight. Along with electric cars, Tesla would manufacture solar panels (made in Buffalo), home battery units, etc. SolarCity was started by Musk’s cousins, Lyndon (CEO) and Peter Rive, with Musk providing the initial capital. Musk is chairman and the largest shareholder of both Tesla and SolarCity. The deal is valued at upwards of $2.8 billion.
Skeptics contend the acquisition makes no sense, while others laud the potential deal. If accepted, it is presumed that Musk would have a more hands-on role over SolarCity operations. Since the announcement, Tesla stock has dropped, while SolarCity’s has risen.
Recently, final construction payments were released for the SolarCity plant in Buffalo, which means that the operation is one step closer to opening. The plant will be the largest in the US, with capabilities of competing with China. The plant will have the capacity to manufacture one gigawatt of solar panels annually.