Southfield/San Francisco — Tesla Motors was given the blessing of advisory firm Institutional Shareholder Services (ISS) on Friday for its proposed $2.3bn acquisition of SolarCity Corporation, giving shares of both companies a boost. Shareholders of both companies would vote for the deal on November 17, ISS said. Tesla, with a market value of about $30bn, would be able to bridge the funding gap with cash-burning SolarCity, and the deal was a necessary step in the electric-car manufacturer’s push to become an integrated sustainable energy company, the company said in a report. ISS also said Tesla had given minority shareholders enough of a voice to overcome governance concerns. "I thought they wouldn’t recommend us, but they did," Tesla CEO Elon Musk said in an interview on CNBC. "They tend to be a bit negative." The proposal to merge the two companies has been controversial since it was announced on June 21, and Tesla shares fell 10% the next day as some stockholders worried that th...
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