Tesla will hold its annual shareholder meeting on November 6, it said on Thursday, a day after a group of investors urged the Elon Musk-led electric automaker to set a date, cited legal obligations.
The last meeting was held in June 2024 and since then a series of events such as Musk‘s public feud with President Donald Trump, the ending of EV tax credits and a slump in sales due to aging vehicle lineup have raised fresh investor worries.
This has resulted in Tesla shares losing 38per cent since hitting a record high in December, with the company now looking to pivot to self-driving technologies for future growth.
But as Musk clashed with Trump over the tax-cut and spending bill and launched ‘America Party’, investors worry his political ambitions could harm Tesla, whose shares have underperformed the so-called ‘Magnificent Seven’ this year.
Tesla shares rose about 1% in premarket trading as the board set July 31 as the new deadline for the submission of shareholder proposals to be included in the proxy statement.
The company was close to missing a deadline under the Texas law, which allows investors to seek legal option in case a company fails to hold a shareholder meeting within 13 months of holding a previous one.
Tesla had in April said it would file its annual proxy statement later than expected and that the board had formed a special committee to consider some compensation matters involving Musk.
In last year’s meeting, shareholders had approved Musk’s controversial $56 billion compensation package despite a Delaware court ruling that had previously voided it.
Meanwhile, Musk is pushing to deepen the integration across his companies as the Grok chatbot, developed by the billionaire’s xAI startup, will be available in Tesla vehicles next week “at the latest”.
“Grok integration suggests formalized ties between Tesla and xAI; the proxy may contain more details on this topic,” Piper Sandler analysts said in a note.
Separately, Linda YaccarinoCEO of social media platform X resigned in a surprise move, adding to a growing list of executives at Musk’s companies to step down.
