A powerful chorus of “no” votes is rising against Elon Musk’s $1 trillion pay package. Norway’s sovereign wealth fund, a top-ten investor, is the latest to add its voice to the dissent.
The fund, which holds a $17 billion stake, announced it will vote against the proposal, citing concerns over its “total size,” “dilution,” and “key person risk.”
This decision aligns the fund with the two most influential shareholder advisory firms, Glass Lewis and ISS. Both have already issued recommendations that investors reject the massive payout.
This coalition of opposition also includes major US pension funds, such as the California Public Employees’ Retirement System (CalPERS).
The Tesla board, led by chair Robyn Denholm, is facing an uphill battle. It argues the deal is essential to retain Musk, but this growing chorus of “no” from major governance-focused institutions will be difficult to ignore at Thursday’s meeting.