Tesla shareholders approve controversial SolarCity merger

Shareholders in innovative car-maker Tesla Motors have approved the acquisition of solar energy company SolarCity, despite many expressing reservations about the deal.

Elon Musk is the majority shareholder in both companies, and critics have said that a conflict of interest would emerge for the businessman.

The move brings together solar energy innovation with electric car manufacturing as automakers around the globe gear up for an expected shift towards clean energy vehicles in the near future.

85% of the shareholders voted in favour of accepting the merger, which caused a 2.5% rise in Tesla shares in after-hours trading in New York.

Musk said the move was all about integration, attempting to make Tesla a company that can provide everything a prospective car buyer could want.

"We're trying to make an integrated product, where you can go to Tesla store and just say yes," Musk said when the result was announced. "It's seamless and you love it."

Shareholders and analysts also doubted whether taking Tesla into the home solar panel market was wise considering the financial difficulties suffered by the automotive division of the company. Tesla has faced questions about its profitability in recent years.

The idea for the company is to add solar panels to the roofs of cars, but despite government subsidies the idea has not yet taken off, but Musk has plans to make them cheaper and more common.

"Assuming we can make a solar roof cost less than a normal roof, then subsidies no longer matter," said Musk.