Tesla introduced that on August 25 is a buying and selling day for shares cut up three-for-one

The logo of car manufacturer Tesla is seen at a branch in Bern, Switzerland, in 2020. October 28 REUTERS/Arnd Wiegmann

Sign up now for FREE unlimited access to Reuters.com

August 5 (Reuters) – Tesla Inc (TSLA.O) It said on Friday that three-for-one trading of its shares would begin on August 25 after the electric car maker’s shareholders approved the offer at its annual meeting.

The EV maker’s shareholders at the company’s annual meeting on Thursday voted in favor of the board’s recommendations on a number of issues, including the re-election of directors, approval of a stock split, but rejected proposals related to the environment and governance.

CEO Elon Musk owns 15.6% of Tesla after selling millions of shares last year, according to Refinitiv.

Sign up now for FREE unlimited access to Reuters.com

Every August 17 the shareholder of record will receive a dividend of two additional shares for each share held, which will be distributed after the close of trading on Aug. 24, the company said.

The new stock split comes two years after a five-for-one split helped ordinary investors undercut high-profile stocks.

While the split doesn’t affect the company’s fundamentals, it could boost the stock price by making it easier for a wider range of investors to own the stock.

Tesla shares, which in 2010 debuted at $17, year-end after 2020. stock split to over $1,200, bringing the company’s market capitalization past $1 trillion.

Tesla shares, which were down 6.6% on Friday, are down about 18% this year.

At Thursday’s meeting, shareholders narrowly approved an advisory proposal that would increase investors’ ability to nominate directors, with 339.2 million votes in favor and nearly 319 million against.

A shareholder proposal asking Tesla to report annually on its efforts to prevent racial discrimination and sexual harassment was rejected, $350.7 million. votes against, and 310 million for the proposal. read more

Sign up now for FREE unlimited access to Reuters.com

Yuvraj Malik reports from Bengaluru; Edited by Maju Samuel

Our standards: Thomson Reuters Trust Principles.

Leave a Comment