High-Stakes Showdown: Tesla’s CEO and Norway’s Sovereign Wealth Fund Clash
A Rare Disagreement
In a rare display of discord, Elon Musk, CEO of electric vehicle giant Tesla, and Nicolai Tangen, CEO of Norway’s sovereign wealth fund, have engaged in a heated exchange. The fund, one of Tesla’s largest investors, had previously voted against Musk’s record-breaking $56 billion pay package.
A Vote of No Confidence
At Tesla’s annual general meeting last June, the fund expressed concerns over the size and structure of Musk’s compensation package, ultimately deciding to vote against it. This move was seen as a significant rebuke, given the fund’s substantial stake in the company.
A Private Invitation
In an effort to extend an olive branch, Tangen invited Musk to participate in a one-day conference in Oslo, accompanied by a home-cooked dinner at his private residence. However, Musk declined the invitation, citing a perceived lack of reciprocity.
A War of Words
In a series of iMessages, Musk and Tangen engaged in a tense exchange. Musk wrote, “When I ask you for a favor, which I very rarely do, and you decline, then you should not ask me for one until you’ve done something above nothing to make amends.” Tangen responded, “Noted and fully understand. As a large shareholder we cheer for you. Good luck with everything. Best Nicolai.”
A Public Revelation
The exchange was first reported by business website e24.no, and has since sparked widespread interest. Norges Bank Investment Management (NBIM), the fund’s operator, has chosen to publish the conversation, citing increased interest in the case.
A Significant Stakeholder
As Tesla’s seventh-largest investor, NBIM holds a 0.95% stake worth $6 billion in the company. The fund’s decision to vote against Musk’s pay package has significant implications for the company’s future.
No Comment from Tesla
Tesla has declined to comment on the exchange, leaving many to wonder about the long-term implications of this high-stakes showdown. One thing is certain, however: the relationship between Tesla’s CEO and Norway’s sovereign wealth fund has been forever changed.
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