Ross Gerber Says Elon Musk Should Buy Tesla Stock "Like Rest Of Us" If He Wants 25% Voting Rights

Benzinga01-17

ZINGER KEY POINTS

  • Musk has said he feels "uncomfortable" steering Tesla toward becoming a leader in AI/robotics without having 25% voting control.

  • Despite Musk's desire for more influence, Gerber argued that additional control seems unnecessary.

  • "Nobody has any influence over Tesla except Elon, and so, I don't know what he is talking about," Gerber said.

Ross Gerber, President and CEO of Gerber Kawasaki Wealth and Investment Management and a Tesla Inc TSLA investor, reflected on Elon Musk‘s request for a 25% voting stake in the company on Wednesday.

What Happened: In an interview with Yahoo Finance, Gerber expressed his view, stating, “I think he should buy the stock. I think he should use his money and buy Tesla for like $25 or $30 billion like the rest of us.” 

He found the idea of shareholders granting Musk $30 billion worth of stock confusing, emphasizing that, as the CEO, Musk’s “fiduciary duty” is to transform Tesla into an AI/robotics company—a task for which he has already been compensated $50 billion.

Musk’s Stance: Musk mentioned on X on Monday that he feels “uncomfortable” steering Tesla toward becoming a leader in AI/robotics without possessing around 25% voting control. He indicated a preference for developing products outside of Tesla unless he attained this level of control.

Gerber’s Perspective: Despite Musk’s desire for more influence, Gerber argued that additional control seems unnecessary, given that Musk is currently the sole influential figure at Tesla, with his friends and family occupying positions on the board of directors. 

Gerber stated, “Nobody has any influence over Tesla except Elon, and so, I don’t know what he is talking about. Tesla is the closest thing to a private company as a public company.”

Musk’s Stake: As of now, Musk holds over 411 million shares in Tesla, constituting approximately a 13% stake.

Price Action: According to data from Benzinga Pro, Tesla shares closed up 0.5% at $219.91 on Tuesday.

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Comments

  • JediGingerNinja
    01-18
    JediGingerNinja
    Why would Elon go somewhere else? He has already got the infrastructure in place with the mega factories!  It makes  sense that he stays the course. The future is not cars let's get real
  • King19
    01-17
    King19
    😂, he can't wait to dispose more of the shares for $$
  • The Catalist
    01-17
    The Catalist
    Exactly the point I made...
  • DCGI
    01-17
    DCGI
    Ross gerder wasnt a good fund manager haha
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