1 Analyst Puts the Odds of a Tesla and SpaceX Merger at 80%. Here's What That Would Mean for Tesla Investors.
What such a deal would actually hand the automaker's shareholders is less clear-cut than the headline odds suggest.
1 Analyst Puts the Odds of a Tesla and SpaceX Merger at 80%. Here's What That Would Mean for Tesla Investors.
Overview
For more than two decades, putting a number on a Tesla-SpaceX merger was guesswork because only one of the two companies traded publicly. That changed on June 12, when SpaceX (NASDAQ: SPCX) completed the largest initial public offering (IPO) in history at a valuation near $1.8 trillion. With a public price finally attached to the rocket company, long-running speculation that Elon Musk will fold his two trillion-dollar businesses into one resurfaced.
The figures involved are enormous. Electric-car maker Tesla (NASDAQ: TSLA) carries a market capitalization of about $1.5 trillion as of this writing, while SpaceX rose above a $2 trillion market value in its first session. Put the two together, and you get a company worth more than $3 trillion -- enough to rank among the four most valuable in the world.
Details
Wedbush analyst Dan Ives recently put the odds of such a tie-up within a year at about 80%.
Source
Originally published at www.fool.com.
