Elon Musk has filed to move his space exploration company SpaceX to Texas, doubling down on his pledge to move many of his businesses out of Delaware after a huge payment to Tesla fell through.
Mr. Musk announced filing In an X post Wednesday, the Texas Secretary of State’s Office proposed incorporating SpaceX in Texas, where he lives, and suggested to other executives: ”
The world’s richest man, worth $205 billion according to the Bloomberg Billionaires Index, thanks in large part to his Tesla stock, is moving his brain chip implant company Neuralink from Delaware to Nevada. is also moving.
Musk’s record-breaking $56 billion compensation package for Tesla was rejected last month by Judge Kathleen McCormick of the Delaware Court of Chancery, calling it an “incalculable sum” that was unfair to shareholders. is at odds with the usually pro-business First State.
McCormick issued the ruling after a lawsuit filed by Tesla shareholder Richard Tornetta, who was responsible for the drum kit for the Philadelphia-based thrash band Dawn of Collection.
Mr. Tornetta owned just nine shares of Tesla stock when he first filed his lawsuit against the electric car maker.
In a 201-page opinion supporting Tornetta, McCormick wrote that Musk’s compensation plan “appears to be tailored to help him accomplish what he believes will create a ‘good future for humanity.'” Stated.
Musk can appeal the Delaware Supreme Court’s decision and said in X that “Tesla intends to immediately conduct a shareholder vote to transfer its corporate status to Texas.”
But SpaceX’s status as a private company allows Musk and the space company’s leadership to speed up the process of corporatization.
Musk celebrated the occasion by posting an animated SpaceX logo glowing across the silhouette of Texas.
On Tuesday, Tornetta’s attorney, Greg Ballaro, wrote a letter to the court asking that McCormick’s sentence be put on hold until the appeal is resolved.
Ballaro told Reuters the two sides would agree to a stay if an agreement is reached on an appeal bond.
Before Musk appeals, the two sides plan to propose a final order for the judge’s approval, which would include claims for legal costs to be paid by Tesla.
Given the size of the judgment, the amount is expected to be among the highest ever paid by a company in litigation. Tesla, which has a market capitalization of about $609 billion, is also expected to object.
Representatives for Mr. Musk at Tesla and SpaceX did not immediately respond to The Post’s requests for comment.
