Illustration: Lille Allen / The Verge
Tesla is asking shareholders to vote for a second time on Elon Musk’s massive compensation package, after a Delaware judge voided the first one earlier this year on the grounds that the approval process was “deeply flawed.”
Tesla shareholders approved the package in 2018, which gave Musk incentive to hit specific milestones, including a market valuation of $650 billion, which was more than 10 times Tesla’s value at the time.
In a proxy statement filed today, Tesla’s board recommends that shareholders simply re-ratify the 2018 pay package in order to address concerns raised by the court ruling — rather than negotiate a new proposal with Musk that could end up costing Tesla even more money.
“The Delaware Court second-guessed your…
Continue reading…
