Tesla Filed for 3-for-1 Stock Split
Posted on 06/11/2022
Tesla, Inc. filed its annual proxy statement with the SEC and revealed it plans a three-for-one stock split. In its 2022 proxy filing, Tesla revealed that board member Larry Ellison, founder of Oracle, currently owns 1.5% of Tesla shares. Ellison plans to relinquish his duties as a member of Tesla’s board of directors. The filing also disclosed that Tesla CEO Elon Musk currently holds 23.5% of Tesla shares and Vanguard holds 6% of Tesla shares.
In the filing, the company wrote of the proposed stock split, “Our success depends on attracting and retaining excellent talent,” and that “highly competitive compensation packages,” offering every employee an option to receive equity, helped Tesla to do that. “We believe the Stock Split would help reset the market price of our common stock so that our employees will have more flexibility in managing their equity.”
ARK
ARK Investment Management’s Cathie Wood has been buying the dip in Tesla following the EV company’s 40% pullback. Cathie Wood also launched an interval fund that will invest in both public, and private companies. ARK’s flagship ARK Innovation vehicle has lost more than 50% year-to-date, but generated major returns during the COVID-19 pandemic.