Tesla’s board is practically begging shareholders to approve CEO Elon Musk’s $45 billion pay package at next month’s annual meeting, but not everyone is onboard and now the EV maker is on the defensive.
In a 71-page report published over the weekend, proxy adviser Glass Lewis encouraged shareholders to vote against Musk’s pay package, in part because of its “sheer size” and the dilutive effect on current shareholders that would take place if Musk exercised his stock options. The proxy adviser, which gives recommendations to institutional investors on how to vote at annual shareholder meetings, also said it was concerned about Musk being distracted from his focus on Tesla because of responsibilities at his other ventures, including social media company X.
