Better Power 🌞

Table of Contents

Better Power

Elon Musk has many ideas, and as a serial entrepreneur many have failed, but many have also succeeded. Some notable ventures outside of the better-known Tesla and SpaceX include The Boring Company, OpenAI, Neuralink, and Hyperloop. One of the lesser-known ventures is called Solar City and its mission is to reshape the energy landscape by making solar power accessible and affordable for everyone. The company was founded in 2006, by Peter and Lyndon Rive, the cousins of Elon Musk. In 2016, Tesla acquired SolarCity for approximately $2.6 billion and reorganized its solar business into Tesla Energy. Today, however, nearly 5 years later, Musk is taking the heat for the deal in which he acquired SolarCity. This is because a lawsuit has been brought up by union pension funds as well as asset managers who allege Elon Musk strong-armed Tesla directors to purchase the cash strapped SolarCity for $2.6 billion.

At the core of the issue is the idea that Elon Musk was simply in a position of too much control when it came to deals like this. The evidence in court was largely based on claims that despite owning only 22% of Tesla, Elon Musk was a controlling shareholder because of his connections to board members and assertive style. Recently, Musk has had to defend himself thoroughly to have any chance and fighting off the claims – in fact – he completed about eight hours of testimony over two days to defend himself.

Musk’s defense has many points but here are a few. Firstly, the purchase was also made at a time when Tesla was struggling, and solar power was something Musk viewed as necessary for the company’s well-being in the electric vehicle industry. Also, the Tesla board (at least according to Musk) handled the majority of the SolarCity deals and he wasn’t the main player in price negotiations. Do you think Elon’s in the right here or not?

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:
More Posts
PGA Tour Enters Investment Talks 💪

As reported on Thursday, both Endeavor Group and Fenway Sports have displayed interest and begun discussions to provide investment in the PGA Tour.

Nike Just Didn’t Do It 📉

Providing one of the biggest earnings reports of the week, $140 billion shoe and clothing retailer Nike posted a significant slip.

Market Recap – September 28th 💰

After the 10-year Treasury yield bond fell off from its 15-year high, investors added some value back into the market, focusing all short-term attention on Friday’s PCE price index reading.

The Crude Oil Bust 🛢

Surging global crude oil prices, driven by factors like OPEC+ production cuts have pushed U.S. West Texas Intermediate futures to over $95 per barrel.

Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.