Tesla Sets November 6 for Annual Shareholders Meeting Amid Musk Pay Package Uncertainty

Tesla has announced that it will hold its annual shareholders meeting on November 6. This decision comes after a group of more than two dozen investors urged the electric vehicle manufacturer's board to schedule the meeting. The last annual shareholders meeting was a significant event, where investors approved CEO Elon Musk's controversial pay package for the second time and endorsed the company's move from Delaware to Texas.

Under Texas law, Tesla is obligated to hold an annual meeting within 13 months of the previous one, which was conducted on June 13, 2024. However, Tesla has not yet filed a proxy statement that would address the ongoing questions surrounding Musk's compensation. This compensation package, if approved, would make Musk the highest-paid CEO of a publicly traded company. The legal battle over Musk's pay package has been contentious, with a Delaware chancery court judge rescinding it twice, despite investor approval last year.

The future of Musk's compensation remains uncertain, as it is crucial for keeping him engaged with Tesla amidst his various other interests. The upcoming shareholders meeting will likely provide more clarity on how the Tesla board plans to proceed with this matter. The meeting will also address other critical issues facing the company, including its strategic direction and operational performance.