Elon Musk's Tesla pay package: More shareholders speak out

Tesla (TSLA) shareholders are set to vote on a $56 billion pay package for CEO Elon Musk. A number of investors who have large stakes in Tesla have been speaking out about how they are voting.

In the video above, Yahoo Finance's Pras Subramanian reports on what some of the major shareholders are saying.

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This post was written by Stephanie Mikulich.

Video Transcript

Some Tesla shareholders already voicing their stance on Elon Musk's controversial pay package comes ahead of the EV Giants announcement on the vote results later this week in Yahoo Finance's Prize Sumera and joins us now with more on the very latest prize.

Yes, the number of some of these bigger funds and then shareholders weighing in uh one of the biggest over the weekend was uh the Norway Sovereign Wealth Fund and they're coming out against must pay package.

They about a 1% stake, 32 million shares.

So that's the seventh largest shareholder uh for Tesla.

And they say they're concerned about the size dilution, key man, risk, things like that.

So they're gonna vote against and they also voted against in 2018.

Calor is also the big uh California Fund.

They call it uh an interview with the C NBC, the head of it called it the package ridiculous.

And they have about 4.7 million shares.

So not as big as, as Norway, but still a sizable holding.

And also on the flip side, Billy Gifford came out on the positive side saying they are going to vote for it saying that the package is ambitious but also kind of tied in with shareholder, sort of interests and shareholder concern.

So that's sort of alignment there with shareholders.

So that's why they're sort of, how's your count looking so far?

I mean, I thought the conventional wisdom was that even though there were some prominent voices who were opposed that it would pass, but there are some analysts who are sort of questioning whether indeed it's going to pass.

Yeah.

You know, Dan Ives Web Bush said it should pass pretty strongly but not, maybe not the 73% it passed in 2018.

And then Garrett Nelson of CFR says he's not sure we'll see what happens.

It kind of in the air.

Uh, Elon complaining about this, I think on Twitter talking about how 90% of retail investors are with him.

But the big question is retail investors don't always vote, right.

They, it's not as easy for, as them for a bigger fund to do so.

So it's gonna, I think it's gonna come down to the wire.

It's gonna be a pretty exciting day on Thursday when the meeting takes place.

When might we know are we gonna, I mean, around what time on Thursday?

Two week to now?

So the meeting starts at 430 eastern on Thursday and you're probably going to find out shortly thereafter, we'll start going through some of the amendments and then give us, you know, I mean, on the 12th you can begin voting if you haven't already done.

So, so the voting will have closed by 430 then you just have to get the tabulation in.

They'll go through all the sort of the non exciting amendments and get to the exciting amendments.

Very interesting.

Thanks, pross, appreciate it.