Shares of Tesla rose more than 1% after trading hours, closing at $ 696.69 on Friday. In the filing, the company wrote about the proposed split, “Our success depends on attracting and retaining exceptional talent” and that “highly competitive pay packages”, which offer every employee the option to receive a share capital, helped Tesla to do it. “We believe that the split of shares would help restore the market price of our common shares, so that our employees have more flexibility in managing their own funds.” A stock split is aesthetic and could mean that smaller investors feel they can afford the stock, but these investors are tiny compared to large institutions. Many brokerage firms already offer investors fractional trades, allowing small investors to buy a portion of seemingly expensive stocks. Elon Musk, during an event at SpaceX headquarters in Hawthorne, California, USA, on Thursday, October 10, 2019. Bloomberg / Getty In its 2022 power of attorney, the electric vehicle and renewable energy company also revealed that board member Larry Ellison currently owns 1.5% of Tesla. Ellison plans to step down as a member of Tesla’s board, but the statement did not say who could replace him. The filing also states that Tesla CEO Elon Musk currently owns 23.5% of Tesla and Vanguard owns 6% of Tesla. Musk has sold a significant portion of his stake in Tesla since late 2021, in part to boost his stake in Twitter, the social networking giant he has agreed to acquire for about $ 44 billion. Tesla announced a similar five-to-one stock split in August 2020. In thirteen different shareholder proposals, Tesla is invited to look into and reveal more about: anti-harassment and anti-discrimination efforts, pressure practices, supply chains and workforce, and details about its own water use and climate impact; water-related hazards. . The company plans to hold its annual shareholders’ meeting online and with a limited number of shareholders who have been invited to attend in person at Tesla’s new plant in Austin, Texas on August 4, 2022.
