In a surprising turn of events, Tesla’s CEO and the world’s richest man, Elon Musk, has expressed doubts about being ousted from the company. According to a report by Bloomberg, Musk talked about his holdings in the company and how it might pose a threat to his position.
Musk Believes His 13 Percent Stake Is Relatively Small
At the moment, Musk holds about 13 percent of Tesla’s shares, the world’s most valuable car manufacturing company. However, the billionaire believes this is a relatively small percentage, and the shareholder advisory firms can vote him out. The current CEO mentions Glass Lewis and Institutional Shareholder Services, saying they have unconventional ideas.
Musk Intends To Double His Stake At Tesla
To maintain control and influence over the board and the company, Musk says about doubling his stake at Tesla. This means he intends to increase his holding from 13 percent to about 25 percent. On Wednesday, during an earnings call, Musk suggested creating a dual class of shares. For those catching up, several companies, like Meta Platforms, already have a dual class of shares in place.
Tesla CEO Might Pursue The Field Of Robots And AI Somewhere Else
Musk’s concerns come after his appeal to Tesla’s board of directors for a stock award. On top of everything else, the billionaire also mentions that he might pursue the fields of AI and robotics elsewhere if he doesn’t get a 25 percent stake in Tesla. According to a Fortune, the company lost more than $90 billion in market valuation in the first two weeks of January.
Moreover, it looks like Musk’s decision to sell his Tesla shares to fund the Twitter acquisition wasn’t the best idea. However, whether the CEO will succeed in changing the share structure and increasing his current stake in the company, and how this will steer the developments in Tesla and the automobile industry in general, is yet to be seen.