Consulting firm Glass Lewis advises Tesla shareholders to vote against $56 billion option package Musk does not receive a salary while he is at the helm of Tesla. Instead, he receives a fixed number of shares from the company, previously decided by the board of directors. – Note from socialbites.ca on behalf of the company’s chairman, Elon Musk, and also against a proposal to re-register the automaker in Texas. The publication writes about this Finance Times.
In its report yesterday, the company called Musk’s compensation package “oversized” and unnecessarily dilutive to other shareholders. The company also criticized the idea of relocating to Texas on the grounds that it would create “uncertain benefits and additional risks” for investors, the newspaper wrote.
Glass Lewis’ recommendations carry weight because they influence the votes of major institutional investors such as Vanguard, Capital Group, Norges and State Street; All of them are among Tesla’s top 10 shareholders and voted against the option package for the first time. However, the proposal was accepted with 73 percent of the votes.
But some big investors are willing to support the premium despite advisors. The Baillie Gifford fund said in a statement to the publication that it had approved the payments for “outstanding operating results and tremendous added value for shareholders”.
For options, a simple majority is sufficient, excluding the shares of Musk and his brother Kimball. A simple majority is required for registration renewal.
Before this, Elon Musk ironically spoke About how the USA brought “democracy” to Ukraine.
Previously Musk appreciated Availability of foreign goods in Russia.
What are you thinking?
Source: Gazeta
Ben Stock is a business analyst and writer for “Social Bites”. He offers insightful articles on the latest business news and developments, providing readers with a comprehensive understanding of the business world.