Tesla Inc suggested a three-to-one stock split on Friday, making its shares more affordable following recent sell-offs of the world’s most expensive automobile.
Tesla shares rose more than 1% in extended trading after the electric car maker announced plans for a stock split.
It was also announced that Larry Ellison, a friend of Tesla CEO Elon Musk, will not run for re-election to Tesla’s board when his term expires at this year’s shareholder meeting.
Ellison is one of the top investors who have committed to supporting Musk’s $44 billion takeovers of Twitter Inc.
If approved, it would be the company’s first such action after a five-for-one split in August 2020.
Tesla said the split would enable its employees to “have more flexibility in managing their equity” and make its stock “more accessible to our retail shareholders”.
Tesla’s board advised against a vote on whether employees should be allowed to form a union.
The National Labor Relations Board upheld a 2019 ruling that Tesla illegally fired a worker involved in union organizing.
Tesla said it does not “tolerate discrimination, harassment, retaliation or any mistreatment of employees”.
Shareholders also asked Tesla to report its policies to address the perceived lack of gender and racial diversity on its board.
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