It looks like Tesla is preparing for the merger with SolarCity. The automaker just filed a document with the Securities and Exchange Commission, saying that it has officially changed its name to Tesla Inc., dropping the “Motors” part of the name that it previously included. Of course at this point, it’s probably best to stop referring to the company as an “automaker,” and you can bet that the company’s public relations department will start policing this.
Tesla changes its corporate documents
Needless to say, if the company going to start selling solar panels – and anyway it already sells energy storage products under the name Tesla Energy, so the name change is hardly a surprise.
In the SEC filing, the company said it has amended its bylaws and certificate of incorporation to reflect the corporate name change, which is effective today. The automaker already mentioned in the past that it would change its name to reflect the broader range of its sustainable energy products in connection with the SolarCity transaction. Shareholders approved the $2 billion deal in November.
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The name change goes hand in hand with part two of CEO Elon Musk’s Masterplan for the company, although a big chunk of that masterplan involves various electric vehicles, such as a semi and pickup truck. However, another huge part of the plan is Tesla Energy, which are the energy storage products the company unveiled some time ago. It quickly sold out of the first run of the products and has not been able to keep up with demand.
One criticism analysts had after the unveiling of the masterplan was the lack of details on how the company will cut costs for the solar plus storage products. Many have suggested that the lifetime cost of such products will remain above the prices related to buying electricity from the grid. It seems unlikely that widespread consumer adoption will become a reality until this cost falls dramatically. Policy changes like net metering also could help, although once again, it will take time to change them.
Shares of Tesla were little changed by the news about the name change, as they hovered at about $251.56 in morning trades.