Tesla is asking shareholders to approve a new performance-based pay package for Elon Musk, according to a financial filing on Friday, according to CNBC. The plan would grant Musk up to 12 tranches of stock tied to ambitious market cap and operational milestones. These include delivering 20 million vehicles, reaching 10 million Full Self-Driving subscriptions, and deploying 1 million robots and robotaxis. The full award would add more than 423 million shares to Musk’s holdings, giving him greater voting control at Tesla. Chairwoman Robyn Denholm told CNBC the plan is meant to keep Musk “motivated and focused.” The first tranche requires Tesla’s market cap to nearly double to $2 trillion, with the final benchmark at $8.5 trillion. The proposal follows a Delaware court ruling that invalidated Musk’s 2018 pay package as excessive and improperly approved, a decision now under appeal. Tesla said shareholders will vote on a proposed investment in Musk’s AI venture xAI at the November 6th meeting.
Be the first to comment