Elon Musk says merging Tesla and SpaceX would be a 'good idea' as committees weigh the world's biggest ever merger

The tie-up would create a $3.5 trillion giant, joining Tesla's cars, robots and self-driving tech with SpaceX's rockets and satellites. Musk said he is 'a conflicted party' barred from the talks and that calling a deal certain 'would be overstating it'. Any merger needs backing from 50 per cent of all Tesla shares. SpaceX shares jumped 8 per cent after hours as the firm posted a $4.4 billion quarterly profit.

Musk described the arrangement as 'an odd kabuki dance' he cannot join.

Barclays suggested a deal could come before Tesla's December shareholder meeting.

Tesla's 2025 bid to declassify its board failed with just 39.4 per cent support.