Tesla Investor Group Wants More Independent Board, Cites Musk Ties | NBC Bay Area
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Tesla Investor Group Wants More Independent Board, Cites Musk Ties

Tesla last week proposed an up to $2.8 billion all-stock acquisition of U.S. solar installer Solar City

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    FILE Photo - Elon Musk, CEO of Tesla Motors Inc., introduces the Model X car at the company's headquarters Tuesday, Sept. 29, 2015, in Fremont, Calif.

    An investor group has requested that Tesla Motors add two independent directors to its board and separate the roles of chairman and chief executive, citing founder and CEO Elon Musk's dominance of the board in the wake of Tesla's proposed bid for SolarCity.

    Musk is also the chairman and largest shareholder of SolarCity.

    CtW Investment Group, which owns 200,000 shares of Tesla, has written a letter to the silicon-valley firm, demanding it implement five steps that would remedy Tesla's "underlying governance deficiencies."

    Among them, CtW is calling for a declassification of the board so that stockholders may have an annual say on the election of all directors and revision of the corporate governance guidelines to forbid that immediate family members of board members serve concurrently on the board.