SolarCity Picks Special Committee to Evaluate Tesla Buyout Bidby
SolarCity Corp.’s board picked Nancy Pfund and Donald Kendall Jr. to consider Tesla Motor Inc.’s $2.86 billion bid to buy the largest U.S. solar power provider.
Kendall will head the two-person special committee, San Mateo, California-based SolarCity said in a statement Monday. The committee retained Skadden, Arps, Slate, Meagher & Flom LLP as legal counsel and Lazard Ltd as financial adviser.
More than half of SolarCity’s eight-member board have recused themselves from a vote on the deal because of connections to Tesla. They include Chairman Elon Musk, who is founder and CEO of Tesla, his cousins Lyndon Rive and Peter Rive, who are co-founders of SolarCity, Antonio Gracias who serves on both boards, and JB Straubel, Tesla’s technology chief.
Kendall doesn’t have a connection to Tesla. Pfund, a managing partner at the venture capital company DBL Investors, was an early backer of both Tesla and SolarCity and served on Tesla’s board.