Global

Musk Secures Shareholder Support for $56bn Tesla Pay Package

Elon Musk has secured a significant victory as shareholders have endorsed his substantial pay package, potentially worth up to $56 billion, dependent on Tesla’s share price. Earlier this year, a judge in Delaware blocked the package, citing concerns it was unfair to shareholders.

“Hot damn, I love you guys,” Musk exclaimed to an enthusiastic crowd at the firm’s annual meeting in Texas. Despite the vote, which is non-binding, legal experts caution that the court may not accept this re-vote and allow the company to reinstate the package.

“The vote changes nothing,” said Mathieu Shapiro, managing partner at law firm Obermayer Rebmann Maxwell & Hippel. “It only offers Tesla opportunities to try to use the vote to obtain a better decision going forward,” he added.

The compensation plan had faced criticism for potentially excessive rewards and concerns over the board’s independence from Musk. Following the judge’s decision, Musk proposed moving Tesla’s legal headquarters to Texas, away from Delaware where the pay package was voided.

Musk, appealing to Tesla’s large base of individual investors, rallied support for the deal, which industry analyst Karl Brauer called “a pretty ringing endorsement.” The exact margin of the vote was not disclosed, but Musk hinted at the results on his social media platform, X, formerly known as Twitter, with shares closing nearly 3% higher.

The plan grants Musk approximately 300 million shares, around a 10% stake in the company, for meeting ambitious goals like achieving a $650 billion market value. Despite Judge Kathaleen McCormick’s ruling that the package was “unfair” and the board’s process “deeply flawed,” Tesla defended the package as aligned with shareholder interests.

“It will be interesting to see if another court is willing to credit a vote taken after the trial court’s decision,” noted Shapiro. Tesla executives echoed support for the package, underscoring Musk’s importance to the company.

Additionally, shareholders re-elected James Murdoch and Musk’s brother, Kimbal Musk, to the board, showing continued confidence in Tesla’s leadership.

Follow us on:

AriseNews

View Comments

  • 📞📞📞GOLF 2,3,4,5 #250,000
    TOYOTA CAMRY BIG
    DADDY #550,000
    Ford Edge=1m200,000
    BMW 3-series=1.640,000
    BMW 5-series=1.960,000
    TOYOTA CAMRY
    TINYLIGH= #350,000
    TACOMA 1.980m
    Mercedes-Benz C-Class ₦1.3Million
    Mercedes-Benz E-Class ₦1.8Million
    TOYOTA CAMRY
    MUSCLE= #1m450,000
    SPIDER 1.5m
    TOYOTA CAMRY
    PENCILLIGHT=#400,000
    TOYOTA COROLLA
    le=#550,000
    TOYOTA COROLLA
    S=#850,000
    Mercedes-Benz GLK ₦3.Million
    Benz ML350=2 million
    Benz ML550=2.6million
    TOYOTA
    VENZA=#1.8m
    TOYOTA Hilux 1.5 million
    TOYOTA AVALON
    #800,000
    TOYOTA AVENSIS
    #700,000
    TOYOTA RAV4 1.2m
    TOYOTA SIENNA
    #750,000
    TOYOTA
    4runner#850,000
    TOYOTA TUNDRA 1.9m
    TOYOTA PICNIC
    #850,000
    TOYOTA Highlander
    #1m850,000
    TOYOTA PADRO JEEP
    1.6m
    TOYOTA LAND
    CRUISER=1.5m
    TOYOTA YARIS #859,000
    TOYOTA MATRIX
    #850,000
    Benz C250=N1.300,000
    TIPPER Head 6mill
    Dyna Truck 900k
    TOYOTA HAICE BUS
    #1m750,000
    ACCURA ZDX 1.6m
    ACCURA MDX 1.9m
    HONDA PILOT #950,00
    HONDA BABY BOY=920k
    Land Rover Freelander ₦3.6Million
    Land Rover Discovery ₦3.2Million

    HONDA END OF
    DISCUSSION=900k
    HONDA ACCORD
    #850,000
    Benz ML300=1.5 million
    Benz C300=1.6MILLION
    Honda CR-V #950,000
    INFINITY fx450 #750,000
    to 1.4m
    NISSAN MURANO
    #1m550,00
    IS250 1m
    Es330 1.6m
    BMW X6=2.670,000
    Tacoma 1.850,000
    LEXUS RX 350 #1m950,000
    LEXUS RS 330 #1m 850,000
    LEXUS RS 300 # 950,000
    LEXUS RX 470 2.5m
    Pequot 406=870,000
    ES350 2mill
    Is350 2mill
    All NEGOTIABLE WE
    RENDER GOOD SERVICE
    TO CUSTOMER ....{ E.T .C}081_-6618_5400〽.INSTALLMENTAL PAYMENT IS FULL ALLOWED!!All VEHICLES ARE HIGHLY NEGOTIABLE〽WE COMMENCE DELIVERY WITHIN 36 STATE IN NIGERIAO8I 66I8 54OO

Recent Posts

Usyk Defeats Fury on Points in Riyadh to Retain Heavyweight Championship Title

Oleksandr Usyk has secured victory over Tyson Fury in Riyadh, successfully defending his heavyweight championship…

3 hours ago

Albania to Ban TikTok for a Year After Schoolboy’s Death Sparks Concerns

Albania plans a one-year TikTok ban from January after a schoolboy’s death sparks concerns over…

6 hours ago

Suspect Remanded in Custody Over Deadly Attack at German Christmas Market

A suspect accused of killing five people by driving into a crowded Christmas market in…

6 hours ago

US Fighter Jet ShotDown in Red Sea ‘Friendly Fire’ Incident Amid Heightened Tensions

A US Navy F/A-18 Hornet was mistakenly shot down over the Red Sea by the…

6 hours ago

NNPC, Dangote Refinery Slash Petrol Prices to N899 Per Litre Amid Rising Competition

NNPC has reduced petrol ex-depot price to N899 per litre, sparking competition with Dangote Refinery…

7 hours ago

Tinubu Urges Strict Crowd Control Enforcement After Deadly Stampedes in Anambra, Abuja

President Tinubu has urged enforcement of strict crowd control measures after deadly stampedes in Anambra,…

7 hours ago