Elon Musk’s dream of securing a $1 trillion pay package is facing a harsh reality. Norway’s national wealth fund, a key $17 billion investor in Tesla, has announced it will vote against the unprecedented deal.
The fund, the seventh-largest shareholder, praised Musk’s “significant value creation” but stated the proposed award is simply too much. It officially cited concerns about the “total size,” potential “dilution” for other shareholders, and the high-stakes “key person risk.”
This opposition is not new. The same fund voted against Musk’s $56 billion deal last year, a move that led to personal friction. After the vote, Musk declined a dinner invitation from the fund’s CEO, Nicolai Tangen, reportedly texting, “Friends are as friends do.”
The current proposal would see Musk’s fortune swell past $2 trillion if he can grow Tesla’s value to $8.5 trillion. However, this vote is happening as Tesla’s sales are struggling, with deliveries down 13% in the first half of the year.
Tesla’s board argues the deal is essential to retain Musk’s focus. But with advisory firms ISS and Glass Lewis also recommending a “no” vote, the board faces an uphill battle to get the package approved on Thursday.
Musk’s Trillion-Dollar Dream Deal Faces Rejection from Key $17bn Investor
