A Dutch civil-service pension fund has sold its entire stake in Tesla over disapproval of CEO Elon Musk’s pay package and working conditions at the company, a report says.
Stichting Pensioenfonds ABP, one of Europe’s largest pension funds, sold 2. 8 million shares of the electric vehicle maker in September because it disagreed with Elon Musk’s salary plan, Dutch newspaper Het Financieele Dagblad reported on Friday. The report details the fund’s express considerations on the management of situations in the company.
A spokesperson for ABP, which manages $552 billion overall, was not without delay responding to a request for comment from Business Insider. Bloomberg said ABP’s stake is estimated to be around $585 million.
In a statement to the NL Times, ABP said that “we cannot and do not need to invest in everything” and that the divestment wasn’t politically motivated. Musk has been a prominent supporter of President-elect Donald Trump and is co-leading a commission called the Department of Government Efficiency.
In 2018, Tesla’s Board of Directors and Shareholders voted in favor of a performance-based payment plan. In the same year, a shareholder sued Tesla and Musk, arguing that Musk had influenced the Board’s resolution through his non-public relationships with Board members, adding his brother. In January 2024, an approval trial in Delaware to cancel MUSK’s refund package, on the side of a shareholder. The inventory option-based package can be worth tens of billions of dollars.
In June, the automaker hosted a voting moment, which led to shareholder approval on Elon Musk’s compensation. The ABP voted against the salary program, describing it as “controversial and exceptionally high. “
Last month, the judge, Foreign Minister Kathaleen St. J. McCormick, Back ruled the reimbursement package, saying that Tesla Votes’s shareholder is not enough to approve the package.
Tesla’s model The best-selling car in the Netherlands in 2024, however, the automaker’s sales declined in Europe. Tesla’s new car registrations from January to November 2024 fell by more than 15% compared to the same era in 2023, according to European knowledge. of the Association of Automobile Manufacturers.
Tesla is worth about $1. 27 trillion and its stock is up about 74% over the past year.
The company did not respond to a request for comment from BI.
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