Tesla files for 3-for-1 stock split: Tesla Its filing Annual Proxy Report With the SEC and plans for a three-share division, and board member Larry Ellison has revealed he does not plan to stand for re-election.
Shares of Tesla rose more than 1% hours after closing at $ 696.69 on Friday.
In the submission, the company wrote about the proposed stock division, “attracting and retaining the best talent for our success” and “the most competitive compensation packages” that helped Tesla offer the option of equity to each employee. “We hope the stock split will help restore the market value of our common stock so that our employees have more flexibility in managing their stocks.”
A stock split is cosmetic and small investors think they can buy shares, but those investors are small compared to large companies. Many brokerage firms already offer partial trading to investors, allowing small investors to buy seemingly expensive stocks.
With its 2022 proxy filing, the electric vehicle and renewable energy business, board member Larry Ellison revealed it currently owns 1.5% of Tesla shares. Ellison plans to relinquish his duties as a member of Tesla’s board of directors.
Tesla CEO Elon Musk currently owns 23.5% of Tesla and 6% of Vanguard Tesla. Musk has sold a significant stake in his Tesla Holdings since late 2021, agreeing to buy about $ 44 billion to raise stakes on social networking site Twitter.
Tesla announced similarly One in five shares split in August 2020.
Among the thirteen different proposals proposed by the partners, Tesla is requested to study and publish further details on its anti-harassment and anti-discrimination efforts, campaign practices, distribution chains and labor, and its own water use and water-related climate impacts and risks. .
The company plans to hold its annual shareholder meeting online on August 4, 2022, with a small number of stakeholders invited to attend the new Tesla plant in Austin, Texas.