Tesla Shareholders Reapprove Elon Musk's $56 Billion Pay Package, Shares Surge 7%

Jun 13, 2024, 08:03 AM

Tesla shareholders have voted to reapprove CEO Elon Musk's 2018 compensation package, valued at $56 billion and paid in stock options. This decision comes after a Delaware judge had previously voided the package, citing concerns over Musk's influence on the board. Approximately 73% of the shareholders voted in favor of the pay package, which is considered the largest executive compensation deal in history. The approval also includes a resolution to move Tesla's legal headquarters from Delaware to Texas. The vote is seen as a significant endorsement of Musk's leadership, despite some investor concerns about the company's recent performance. Musk has been credited with significant milestones such as the Model S, the SolarCity merger, and achieving 3,333% revenue growth. Following the announcement, Tesla shares surged by 7% in premarket trading.