Elon Musk, on witness stand, defends SolarCity acquisition
Source: AP
By PAUL WISEMAN and TOM KRISHER
WILMINGTON, Del. (AP) — Tesla CEO Elon Musk took the witness stand Monday to defend his company’s 2016 acquisition of a troubled company called SolarCity against a shareholder lawsuit that claims Musk was to blame for a deal that was rife with conflicts of interest and failed to produce the profits he had promised.
In a sometimes testy exchange with a plaintiffs’ attorney, Musk denied any conflict of interest, saying he had nothing to gain from the all-stock acquisition because he owned shares of both companies.
“Some of your questions,” he told the opposing attorney,” are really tricky and deceptive.”
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story is below:
In the runup to Tesla Inc.’s 2016 acquisition of a company called SolarCity, Elon Musk hailed the deal as a “no brainer” — a purchase that would combine the leading maker of electric vehicles with a manufacturer of solar panels that can recharge EVs.
FILE - In this March 14, 2019, file photo, Tesla CEO Elon Musk speaks before unveiling the Model Y at the company's design studio in Hawthorne, Calif. In the runup to Tesla Inc.’s 2016 acquisition of SolarCity, Elon Musk called the combination a “no brainer,” a one-stop shop for electric cars and the solar panels to recharge them. On Monday, July 12, 2021, the Tesla CEO will have to defend the $2.5 billion deal under oath in a shareholder lawsuit alleging conflicts of interest. (AP Photo/Jae C. Hong, File)
Read more: https://apnews.com/article/business-09dfd1c03b59b1af55aa967d1c093482