"Tesla Offers $2.8 Billion For SolarCity In 'No Brainer' Deal For Musk"

"Elon Musk on Tuesday sought to build a clean energy powerhouse as his electric car maker, Tesla Motors Inc, made an offer to buy his solar installation firm SolarCity Corp in a stock deal worth as much as $2.8 billion.

Tesla shares plunged more than 13 percent to $189.99 in extended trading - amounting to a loss in value of about $4.3 billion, or more than the value of the offer for the other company. Shares of SolarCity rose about 18 percent to $25.02.

Musk, who is the chairman of SolarCity, CEO of Tesla and the largest shareholder of both companies, described the deal as a 'no brainer' in a call with reporters. The company could sell customers an electric car, a home battery and a solar system all at once, he said."

Nichola Groom and Paul Lienert report for Reuters June 22, 2016.

SEE ALSO:

"SolarCity Stock Soars 15% On $2.8 Billion Tesla Bid; TSLA Plunges" (CNBC)

"Elon Musk Aims to Shore Up SolarCity by Having Tesla Buy It" (New York Times)

"Tesla's SolarCity Bid Would Create One-Stop Shop For Clean Energy" (NPR)

"Elon Musk Wants To Build A Clean-Energy Juggernaut, Merging Tesla and SolarCity" (Vox)