Musk's SpaceX-Tesla merger push raises conflict-of-interest concerns

Elon Musk's public endorsement of a potential $3.5 trillion SpaceX-Tesla merger has unsettled insiders, raising fears of delays, shareholder scrutiny and a repeat of the SolarCity legal battle. The disclosure created a "mess" for the process, as it could lead to questions about how well Tesla shareholders' interests would be represented, the person said. The concerns reflect similarities some participants see with Tesla's 2016 acquisition of SolarCity, which sparked years of litigation over Musk's role in the deal. Musk, who owns nearly a fifth of Tesla and just under half of SpaceX, acknowledged he cannot be part of the special committee discussions. Advisers are ensuring his recusal, though legal experts note Texas incorporation adds uncertainty to any potential challenge.