From Nasdaq: 2024-06-14 03:22:42

At Tesla’s annual general meeting, Elon Musk emerged victorious as shareholders approved his $56 billion pay package and the company’s move to Texas. Musk thanked voters on social media for their support. Share prices rose by 3% to $182.47 after the meeting.

Shareholders also approved the ratification of Musk’s compensation package and the relocation of Tesla’s incorporation to Texas. The company confirmed it is now a Texas corporation and will file necessary documents with the SEC.

The approval also included the election of two directors, approving executive compensation, and ratifying the appointment of PricewaterhouseCoopers LLP as Tesla’s independent accounting firm. Formal vote tabulations will be disclosed in a Form 8-K filing.

This decision comes after a Delaware judge voided Musk’s pay package earlier this year, citing flaws in the approval process. Shareholders were divided over the compensation, with some arguing it is vital for Tesla’s future success while others deemed it too excessive.

Musk had recommended incorporating in Nevada or Texas following the judge’s ruling, highlighting the benefits of not incorporating in Delaware. Tesla had previously moved its corporate offices from California to Texas in 2021 due to regulatory issues. The company is currently facing challenges in several markets.



Read more at Nasdaq: Tesla Stockholders Approve Elon Musk’s $56 Bln Pay Package, Moving To Texas