A group of major Tesla investors, including pension fund managers and major financial institutions, have called on the company’s board to take action against CEO Elon Musk over concerns he is being distracted by his other issues, Markets Insider reported.
In an open letter signed by 17 major Tesla investors, including the New York Comptroller’s Office, which oversees the city’s $242 billion pension system, and financial services giant Nordea, they say they have expressed concern that Musk is not sufficiently concerned about his responsibilities. tongues in the electric company. car company
The investors who signed the letter collectively own $1.5 billion in Tesla stock.
“We are concerned that the board of directors is not fulfilling its role to adequately represent the interests of Tesla shareholders. “Boards of companies can and should intervene if the CEO appears absent-minded or overly preoccupied with other matters,” the letter reads.
“However, the Board has allowed Elon Musk to run multiple companies, resulting in an inability to address the many strategic and competitive challenges Tesla faces,” the investors charged in their letter.
Elon Musk is the CEO of three large companies
In addition to Tesla and SpaceX, his aerospace company, Musk also became CEO of Twitter last October, taking the post after buying the social media platform and firing its management.
Faced with a wave of criticism over his actions on Twitter since becoming owner and CEO, Musk asked his more than 136 million Twitter followers in December whether he should step down as CEO.
He remains in office to this day, despite poll results pointing to his resignation and his previous promises to respect the fans’ decision, whatever it may be.
The letter comes at a time when Tesla is facing several serious challenges in the market, with intensifying competition, slowing demand and fears of a possible recession in the US economy.
“Without a fully engaged CEO and board prepared to provide appropriate oversight, we are concerned that Tesla will not be prepared to effectively navigate the increasingly competitive EV sales environment, the evolving global regulatory landscape, changing consumer preferences, chain challenges supply and the investor’s expectations,” the letter continues.
In addition to the 3 companies he runs as CEO, Musk is also the founder of the neuroscience research company Neuralink, regularly expressing interest in its developments.
Source: Hot News
Lori Barajas is an accomplished journalist, known for her insightful and thought-provoking writing on economy. She currently works as a writer at 247 news reel. With a passion for understanding the economy, Lori’s writing delves deep into the financial issues that matter most, providing readers with a unique perspective on current events.