Norway's Wealth Fund to Oppose Musk's $1.5 Trillion Tesla Pay Deal
Norway's sovereign wealth fund, the largest in the world, announced it will vote against Tesla CEO Elon Musk's proposed compensation package valued at approximately $1.5 trillion. The vote will take place at Tesla's annual general meeting on November 6.
Stake and Influence
The fund holds the seventh-largest stake in Tesla and is the biggest shareholder to publicly disclose its voting intention. Despite its opposition, critics face significant challenges in blocking the deal.
Controversy Over the Compensation
- The package is expected to become the largest CEO pay agreement in history.
- Critics describe the deal as excessive and worry it grants Musk too much unchecked control.
- Tesla's board supports the package, emphasizing Musk's importance to the company.
Tesla board chair Robyn Denholm warned that Mr. Musk might leave the $1.5 trillion market cap company if shareholders reject the plan.
The decision by investors will determine whether Musk's pay deal is approved amid concerns about executive power concentration and corporate governance.
Author's summary: Norway's sovereign wealth fund will oppose Elon Musk's unprecedented $1.5 trillion Tesla compensation plan, highlighting shareholder worries about excessive executive power.