“Tesla Faces Uphill Battle for Shareholder Approval on Musk’s Pay and Texas Move”

Tesla’s chair on Elon Musk: ‘I might wake up to a tweet. I don’t wake up to a strategy shift’

Tesla faces significant challenges in obtaining shareholder approval for relocating to Texas and endorsing CEO Elon Musk’s $56 billion pay package. Robyn Denholm, Tesla’s chair since 2018, emphasized the enormity of this task, likening it to climbing “Mount Everest.” Despite criticism of her close relationship with Musk, Denholm defended the pay plan, highlighting its success in driving shareholder value. This plan, which includes no salary or cash bonus, relies on Tesla’s market value potentially reaching $650 billion over a decade starting from 2018. A Delaware judge previously voided the compensation package, prompting Musk to propose moving Tesla’s incorporation to Texas. Denholm has urged shareholders to reaffirm their approval and will engage with them until the vote. The board’s close ties with Musk remain under scrutiny.

#Tesla #ElonMusk #Shareholders #BusinessNews #CorporateGovernance

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