Bloomberg the Company & Products

Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Elon Musk Says He May Form Holding Company for Tesla, SpaceX

Aug. 30 (Bloomberg) -- Elon Musk, co-founder of Tesla Motors Inc. and founder of Space Exploration Technologies Corp., said he’s interested in creating a holding company for shares of his electric car and rocket launch businesses.

“Am starting to consider whether it would make sense to create a parent corporation that would own the stock,” Musk said today in a Web chat on “Not sure if that is feasible or sensible, but am thinking about it.”

Musk, 41, who is Palo Alto, California-based Tesla’s chief executive officer and biggest investor, has said an initial public offering of his aerospace company, known as SpaceX, may happen next year.

SpaceX, based in Hawthorne, California, in May became the first private company to send a spacecraft to supply the International Space Station, and this month won a $440 million U.S. government contract to develop spacecraft for future cargo missions. Musk has said Tesla, which sold shares to the public for the first time in 2010, may be profitable as early as 2013 from sales of battery-powered Model S sedans.

There’s not yet any formal plan to create a parent entity for the two companies, Musk said in an e-mail today.

“No actual plans under way,” he said. “Gets unwieldy to have lots of companies with me as the only connection.”

‘Supercar’ Plans

Musk also said on the Web chat that Tesla is studying the addition of an electric “supercar.” That category of vehicles currently includes racing-style models from brands such as Ferrari SpA and Volkswagen AG’s Lamborghini that can cost more than $200,000.

“We will do an electric supercar at some point,” Musk said. Initially, Tesla considered adding such a vehicle to its lineup after the introduction in 2013 of the battery-powered Model X sport-utility vehicle, he said.

“It was going to happen right after the Model X, but it is more important to the world that we do a more affordable electric car,” Musk said. “Hopefully, we will get to an electric supercar in four to five years.”

The Model S, which began production in June at Tesla’s plant in Fremont, California, has a starting price of $57,400 and can cost more than $100,000, depending on battery pack size and other options. The vehicle qualifies for a $7,500 federal tax credit.

Tesla was unchanged at $28.41 at the close in New York. The stock has declined 0.5 percent this year.

To contact the reporters on this story: Alan Ohnsman in Los Angeles at

To contact the editor responsible for this story: Jamie Butters at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.