SolarCity Plans to Sell, Not Lease, More Panels — Market Talk

18:27 ET – SolarCity (SCTY) plans to sell more of its home solar panels to homeowners, rather than lease them as it has primarily done. “It will be a lot toward cash and loan,” Chairman Elon Musk–who is also chairman of Tesla (TSLA), which plans to acquire SCTY–says in a conference call with analysts. “It’s economically more efficient for the end customer to do that. If the end customer has a good cost of capital or better than SolarCity, it’s fundamentally more efficient for them to take the debt on themselves.” Customer ownership also decreases SCTY’s dependence on the tax equity and securitization markets to finance panel installations, he adds. (cassandra.sweet[a]; [a]CassandraSweet)

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