(Adds details of SEC filing, background)
Oct 12 Tesla Motors Inc said on
Wednesday it will provide strategic and product plans for a
combined company of the electric automaker and SolarCity Corp
ahead of a Nov. 17 merger vote by shareholders of both
"Over the next few weeks, Tesla will share important updates
regarding our strategic plan for the combined company" including
an Oct. 28 unveiling of a solar roof product, Tesla said in a
company blog post on Wednesday.
The companies said in a filing with the Securities and
Exchange Commission, also on Wednesday, that each SolarCity
share will receive 0.11 Tesla shares upon completion of the
proposed merger, unchanged from previous SEC filings.
On June 21, when Tesla's plans to purchase SolarCity were
announced, the notional value of a SolarCity share, based on
0.11 Tesla shares, was $24.16.
Tesla shares fell nearly $23 the following day, but have
since recovered and at midday on Wednesday were at $201.70 per
The value of a SolarCity share would be $22.18 based on
Tesla's share price at midday on Wednesday.
Tesla expects to issue about 11,080,333 shares of the
company's common stock to SolarCity shareholders if the merger
is approved, representing a stake of about 6.9 percent in Tesla.
The new SEC filling also shows that the Tesla board
determined that shareholders as of Sept. 23 would be eligible to
vote on the merger proposals.
The same filing says the Tesla shareholder meeting will be
held on company property in Fremont, California and the
SolarCity meeting at a hotel in Foster City, California.
On Sunday, Tesla Chief Executive Elon Musk said the company
would not need to raise capital in the fourth quarter and likely
not in the first quarter of 2017 to fund the launch of its Model
3 electric car and other products.
In a subsequent SEC filing by Tesla, the company said the
amount and timing of funds that Tesla may raise was
Musk controls 21.7 percent of SolarCity stock, Wednesday's
Tesla reports third quarter financial results on Oct. 26.
(Reporting by Bernie Woodall; Editing by Bernadette Baum)