Tesla Inc said on Friday that trading in its three-for-one split shares will begin on August 25 after shareholders accepted the plan at the company’s annual meeting.
At the company’s annual meeting on Thursday, shareholders voted for board recommendations on most matters, including re-electing directors and accepting a stock split, while rejecting suggestions focusing on the environment and governance.
According to Refinitiv statistics, Tesla CEO Elon Musk owns 15.6 percent of the company after selling millions of shares last year.
According to the firm, each stockholder of record on Aug. 17 will receive a dividend of two additional shares for each share retained, which will be delivered following the conclusion of trading on Aug. 24.
The fresh share split comes two years after a five-for-one split helped bring the high-flying stock’s price down to the level of ordinary investors.
While a split has no effect on a company’s fundamentals, it may boost the share price by allowing a broader group of investors to buy the stock.
