Elon Musk announced that both Tesla and SpaceX have established special committees comprised of independent directors to explore a potential merger. This development was disclosed during the earnings call for the third fiscal quarter of 2026, which covers the period from July to September 2026.
Musk noted that a merger could offer significant advantages, particularly in the joint development of super-intelligent software, artificial intelligence, and autonomous driving technologies. He emphasized that the committees have not yet reached an agreement on the terms of the deal, and the merger remains uncertain.
Due to his role as CEO of both companies and his significant equity holdings, Musk stated he is a conflicted party and will not participate in the committee discussions. The boards initiated these committees in response to shareholder requests to evaluate the proposal.
The transaction faces substantial hurdles, including the requirement for approval from at least 50% of all Tesla shareholders. Following the announcement, Tesla's stock price rose by approximately 1.2% in after-hours trading.
Barclays analysts previously suggested that a merger announcement could occur before Tesla's annual shareholder meeting in December, with speculation that SpaceX might act as the acquirer. However, neither the companies nor Musk have officially committed to the deal.
