BENGALURU: Tesla said on Tuesday Chief Executive Elon Musk will receive no guaranteed compensation of any kind, and that he will be paid only if the company and all of its shareholders do extraordinarily well.
The compensation will be based on a combination of market capitalization and operational milestones, the electric carmaker said in a statement.
“Elon (Musk) will receive no guaranteed compensation of any kind — no salary, no cash bonuses, and no equity that vests simply by the passage of time,” the company said.
The new performance award consists of a 10-year grant of stock options that vest in 12 tranches, with each tranche vesting only if both market capitalization and operational milestones are met, the company said.
Tesla said its market capitalization must increase to $100 billion (SR375 billion) for the first tranche to be vested and must continue to increase in additional $50 billion increments.
“Thus, for Elon to fully vest in the award, Tesla’s market cap must increase to $650 billion,” the Palo Alto, California-based company said.
To meet the operational milestone, Tesla must meet a set of escalating revenue and adjusted earnings before interest, taxes, depreciation, and amortization targets, it said.
Tesla ties CEO Musk’s compensation to company’s performance
Tesla ties CEO Musk’s compensation to company’s performance
Closing Bell: Saudi main index climbs to 10,485
RIYADH: Saudi Arabia’s Tadawul All Share Index edged up on Sunday, gaining 34.32 points, or 0.33 percent, to close at 10,484.59.
The total trading turnover of the benchmark index stood at SR2.59 billion ($690 million), with 168 listed stocks advancing and 87 declining.
The Kingdom’s parallel market Nomu also gained 100.37 points to close at 23,454.65.
The MSCI Tadawul Index advanced by 0.13 points to 1,377.44.
The best-performing stock on the main market was Nama Chemicals Co., whose share price increased by 9.98 percent to SR22.38.
The share price of Al Masar Al Shamil Education Co. rose by 9.15 percent to SR23.85.
Saudi Paper Manufacturing Co. also saw its stock price climb by 8.42 percent to SR57.95.
Conversely, the share price of Canadian Medical Center Co. dropped by 6.37 percent to SR6.03.
The stock price of Kingdom Holding Co. also declined by 3.16 percent to SR8.28.
In the parallel market, Alfakhera for Mens Tailoring Co. was the top performer, with its share price advancing by 16.40 percent to SR8.80.
On the announcements front, Theeb Rent a Car Co. said it had signed a long-term vehicle leasing services contract valued at SR110.4 million with Hungerstation Co.
Under the deal, Theeb will lease 2,000 vehicles to HungerStation for a period of four years starting from 2026, according to a Tadawul statement.
The statement added that the vehicles will be delivered in batches within the first six months from the contract start date, taking into consideration global logistical circumstances and procedures beyond the control of both the agents and the company.
The contract is expected to have a positive impact on the company’s financials from the first quarter of 2026.
The share price of Theeb Rent a Car Co. declined by 0.79 percent to SR37.80.
