Tesla Receives Multiple Shareholder Proposals for Investment in Elon Musk's xAI

Tesla gets multiple shareholder proposals related to investment in xAI

July 25 (Reuters) - Tesla (TSLA.O), opens new tab said on Friday it has received a number of shareholder proposals regarding the automaker investing in CEO Elon Musk's artificial intelligence startup xAI. Musk earlier in July ruled out a merger between Tesla and xAI but said he plans to hold a shareholder vote on investment in the startup by the automaker. Tesla, which will hold its annual shareholder meeting on November 6, said it will only include one proposal on each topic in its proxy statement, in accordance with SEC rules. Earlier this month, the board set July 31 as the deadline for the submission of shareholder proposals to be included in the proxy statement. Reporting by Akash Sriram in Bengaluru; Editing by Devika Syamnath Our Standards: The Thomson Reuters Trust Principles., opens new tab * Suggested Topics: * Artificial Intelligence * ADAS, AV & Safety * Software-Defined Vehicle * Sustainable & EV Supply Chain

Elon Musk's Tesla To Include Shareholder Proposal On xAI Investment In Proxy After Receiving Multiple Requests - Tesla (NASDAQ:TSLA)

Tesla Inc. TSLA on Friday said that it has received multiple shareholder proposals concerning the company's potential investment in Elon Musk's artificial intelligence startup, xAI. What Happened: In a statement shared on X, Tesla acknowledged growing shareholder interest in the proposed investment in Grok's parent company. "Thanks for your engagement in this shareholder proposal process! We have received a number of shareholder proposals on xAI," the company said. Citing U.S. Securities and Exchange Commission rules, Tesla stated that it will "include one properly submitted proposal on each topic" in its annual proxy statement. "We would invite the shareholder who made the first proper submission on the topic to attend our shareholder meeting in person," the company added. See Also: Tesla Shares Rise Nearly 4% On Bay Area Robotaxi Launch Hopes Why It's Important: Tesla's annual shareholder meeting is scheduled for Nov. 6, and the deadline for submitting proposals is July 31. Those interested in attending were advised to look out for Tesla's proxy for more details. Musk previously ruled out a merger between Tesla and xAI but said a shareholder vote on a potential investment is being planned. Trending Investment OpportunitiesAdvertisementArrivedBuy shares of homes and vacation rentals for as little as $100. Get StartedWiserAdvisorGet matched with a trusted, local financial advisor for free.Get StartedPoint.comTap into your home's equity to consolidate debt or fund a renovation.Get StartedRobinhoodMove your 401k to Robinhood and get a 3% match on deposits.Get Started "It's not up to me. If it was up to me, Tesla would have invested in xAI long ago. We will have a shareholder vote on the matter," he stated in a statement earlier this month. The xAI-related proposals arrive amid heightened scrutiny of Musk's cross-company dealings and AI ambitions. Earlier this year, xAI raised $10 billion in combined debt and equity financing and acquired social media platform X to bolster its chatbot Grok. Price Action: Tesla shares have declined 21.74% so far this year, but over the past 12 months, the stock has gained 43.50%. On Friday, the stock rose 3.52% during regular trading and ticked up another 0.52% in after-hours trading, according to Benzinga Pro. Benzinga's Edge Stock Rankings show that while TSLA is experiencing short-term downward pressure, it maintains positive momentum over the medium and long term. The stock boasts a strong growth score, although its value rating remains on the lower side. Additional performance insights are available here. Read Next: US Stocks Hit New Highs As Magnificent Seven Reach $19 Trillion: What's Moving Markets Friday? Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo courtesy: Shutterstock TSLATesla Inc$317.704.06%Stock Score Locked: Edge Members Only Benzinga Rankings give you vital metrics on any stock - anytime. Unlock RankingsEdge RankingsMomentum55.40Growth91.37Quality57.58Value10.87Price TrendShortMediumLongOverviewMarket News and Data brought to you by Benzinga APIs