Connect with us

Hi, what are you looking for?

Entertainment

Tesla Shareholders Approve Musk’s $56B Pay Package

Elon Musk, Tesla‘s CEO, stated on Wednesday evening that the majority of the electric vehicle manufacturer’s shareholders are voting in favor of his enormous pay package, believed to be worth up to $56 billion. Musk made the announcement on his social media platform X, before the vote officially concluded.

He indicated that both Tesla shareholder resolutions, including his pay package and a plan to relocate Tesla’s incorporation from New Castle, Delaware to Austin, Texas, are currently being approved by a significant margin.

While the official results of the vote have yet to be announced, Tesla’s annual shareholder meeting is scheduled for Thursday afternoon. Tesla has been actively encouraging its shareholders to approve Musk’s massive compensation package. The company stated on its annual meeting website that the future value at risk requires immediate shareholder action to safeguard both Tesla and their investment.

Advertisement

As part of its efforts, Tesla also initiated a sort of lottery, promising 15 randomly selected voting investors a personal tour of Tesla’s Austin plant, guided by Musk and vehicle designer Franz von Holzhausen.

In March 2018, shareholders broadly supported Musk’s compensation plan, but a Delaware judge overturned it in January. The vote this year is expected to be tighter than the 2018 vote, as influential advisory firms Investor Shareholder Services and Glass Lewis opposed the proposal. Both firms warned of potential stock dilution for Tesla shareholders if Musk receives the enormous stock grant, which could devalue their shares.</>

Advertisement

In response to the Delaware ruling, Tesla reinstated the package in April, with chair Robyn Denholm urging investors to address this issue. In a letter to shareholders, Denholm stated that the company had generated more than $735 billion in value over the past six years.

Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Sports

Manchester United have made significant progress in their pursuit of Bologna striker Joshua Zirkzee, reaching a broad agreement over payments relating to the player’s...

Entertainment

A hyena that had escaped from the Jos Wildlife Park in central Nigeria has been captured and returned to its enclosure. The hyena, which...

Entertainment

Despite battling the rare neurological disorder stiff-person syndrome, iconic singer Celine Dion has been offered the prestigious opportunity to perform at the opening ceremony...

Entertainment

Popular Nollywood actor Chinedu Ikedieze, widely known by his stage name ‘Aki’, and his wife Nneoma Nwaijah have welcomed a baby boy into their...

Copyright © TVCCommuniation owner of TVC Entertainment