Tesla holders bet SpaceX IPO could pave way for Musk merger
What's new: Analysts say SpaceX's post-IPO slide may make a deal easier as investors price in an acquisition premium for Tesla.
Tesla shareholders are increasingly betting that SpaceX's blockbuster public debut could eventually lead Elon Musk to combine the two companies. The idea gained traction after SpaceX completed its IPO last week and then gave back part of its early surge, while Tesla shares stayed relatively firm and briefly moved back above $400 on Monday. Analysts cited by The Business Times said the companies' overlap in artificial intelligence and heavy capital needs could support a tie-up, especially after SpaceX absorbed xAI in February and launched a chip-making venture with Tesla called Terafab. Still, the businesses remain very different, with Tesla focused on electric vehicles, autonomy and robots, and SpaceX centered on rockets, satellites and Mars ambitions.