For Tesla shareholders, SolarCity comes with deepening losses (SCTY, TSLA)
SolarCity may soon become part of electric car maker Tesla, in a merger aimed at creating a sustainable energy superpower. The $2.6 billion deal has drawn some criticism due to the fact that Tesla CEO Elon Musk is also the chairman of SolarCity.
Some observers have called the deal a "bailout" for SolarCity, whose solar panel installation business has burned an increasing amount of cash. As this chart from Statista shows, SolarCity's losses have been growing at a much faster
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