Editor’s Note: The article has been updated to remove an incorrect statement about T. Rowe Price’s position on a future proposal.
Ahead of its June 13 annual meeting, Tesla Inc. (NASDAQ:TSLA) is reportedly pulling out all the stops to convince its growing base of retail investors to reapprove CEO Elon Musk‘s controversial pay package.
What Happened: The company’s board has enlisted a strategic advisor and an external law firm to spearhead the campaign, Bloomberg reported, citing a person familiar with the matter. A dedicated “Vote Tesla” website targets retail investors, who hold an estimated 42% of Tesla’s shares.
The site features a video message from board Chair Robyn Denholm emphasizing that supporting Musk’s pay is critical for the company’s growth.
Court Rejection, Board Rebuttal: This vote follows a Delaware judge’s rejection of the compensation agreement in March. The judge argued that Tesla directors didn’t prioritize shareholder interests.
Denholm, in the promotional video, counters this argument, stating, “We don’t believe one judge’s opinion should void the will of millions of votes cast by all ...