Elon Musk Regains Control & Pay Package In Tesla Court Victory

Elon Musk’s 2018 Tesla pay package, originally worth USD 56 billion, was reinstated by the Delaware Supreme Court on Friday, now valued at about USD 139 billion based on Tesla’s stock price.

The ruling reverses a lower court decision that had rescinded the deal, citing improper approval and conflicts of interest by Tesla’s Board. The package allows Musk to acquire around 304 million Tesla shares if performance milestones are met, potentially increasing his stake from 12.4% to 18.1%. Musk has not exercised the options, and the court found that rescinding the plan left him uncompensated for six years of work. The decision strengthens Musk’s control over Tesla. Lawyers challenging the package said they were reviewing next steps. Tesla shares rose slightly in after-hours trading following the ruling.