JP Morgan analyst Rajat Gupta said that although a Tesla-SpaceX merger looks
sensible on paper, market speculation understates key obstacles:
multi-jurisdiction regulatory approvals; governance and voting-right symmetry;
and the perception the deal would be a SpaceX-led takeover rather than a merger
of equals. Gupta said JP Morgan will monitor SpaceX's acquisition currency, the
regulatory landscape and Elon Musk's voting power at Tesla as potential deal
catalysts. JP Morgan sees the most likely structure, if a transaction occurs, as
an all-stock, SpaceX-led acquisition of Tesla.
