Tesla Grants Musk New $29B Stock Award

Tesla has granted CEO Elon Musk a new interim stock award valued at about $29 billion, comprising 96 million restricted shares tied to his continued leadership as the company pivots toward AI, robotics, and automated transport. The award requires Musk to remain in a top executive role for at least two years, buy the shares at $23.34 each—the same exercise price as his voided 2018 package—and hold them for five years. This move follows a Delaware court's decision to strike down the $56 billion 2018 compensation, citing flawed negotiations and board independence issues, though Tesla is appealing. The interim award will be forfeited if the 2018 plan is reinstated on appeal. The board asserts Musk is crucial for Tesla’s transformation, while investors remain divided over the necessity of further incentives. A longer-term pay proposal will be up for a shareholder vote in November.