Tesla has awarded CEO Elon Musk shares valued at approximately $29 billion as part of a compensation plan aimed at retaining him during a pivotal transition. This initial grant serves as a "good faith" payment following a previous compensation package of over $50 billion that was revoked by a Delaware court due to procedural flaws. The share grant will enhance Musk's voting power and is intended to ensure his focus remains on Tesla's evolution into AI and robotics. The shares vest contingent upon Musk's continued executive role until 2027, with specified holding conditions.
Tesla has granted CEO Elon Musk shares worth about $29 billion, as a first step "good faith" payment to honor Musk's more than $50 billion pay package from 2018 that a Delaware court ruled against last year.
As the company pivots from its auto business to focus on robotaxis and humanoid robots, the share award aims to boost Musk's voting power, ensuring his commitment to Tesla's mission.
The new shares are contingent on Musk maintaining a key executive role through 2027, with the plan requiring a five-year holding period, except to cover tax payments.
The special committee overseeing Musk's compensation stated confidence that this award will incentivize him to remain at Tesla, acknowledging his extensive business interests and demands on his time.
Collection
[
|
...
]