Elon Musk, the CEO of Tesla, stated that he wants to hold twice as many shares as he does now in order to have more sway over the business.
As to the third quarter 2023 financial report from Tesla, Elon Musk holds a 13% stake in the electric vehicle manufacturer. Even while this is a high figure, it is still less than the 25% that he desires.
On January 15, Musk posted on Twitter, saying, “I cannot comfortably lead Tesla to become a leader in AI and robots without control.” “25% is enough for me to have influence, but not so large that no one can stop me.”
Musk stated that he will think about developing the items outside of Tesla if he is unable to meet this objective.
Tesla’s dual-class stock structure, wherein Musk’s shares have greater voting power than other stockholders’ shares, is something he has always desired. He has been informed, nonetheless, that since Tesla became public, this is not feasible.
Since they may keep control of the business even though they possess a minority position, founders and early investors frequently view companies with dual-class stock structures as advantageous.
In addition, Musk is in legal hot water over a Tesla compensation plan. The automaker’s shareholder is suing Musk and the board of directors, claiming that Musk used his position of authority to get a substantial remuneration package in 2018 without needing to work full-time for the company.
Other shareholders may be concerned about Musk’s potential use of his authority in light of his intention to take over Tesla. It seems sense, though, that he is determined to position Tesla as a leader in robotics and artificial intelligence.
