Overview
- NBIM, which holds roughly 1.1% of Tesla, said it will vote against the performance-based package and also opposes a Tesla investment in xAI and the re-election of directors Ira Ehrenpreis and Kathleen Wilson-Thompson.
- Proxy advisers ISS and Glass Lewis have urged shareholders to reject the plan, while some investors, including Baron Capital, have publicly backed it.
- Tesla shares fell about 4% to 5% after NBIM disclosed its stance, reflecting heightened uncertainty ahead of the ballot.
- The shareholder vote is set for November 6, major passive managers BlackRock, Vanguard and State Street have not disclosed their positions, and Elon Musk can vote his roughly 15% stake.
- The proposal could grant Musk up to about 12% of Tesla over ten years if extremely ambitious targets are met, such as a market value of $8.5 trillion, 20 million vehicles delivered, and one million robotaxis, with the board pitching the award as key to retaining him.