As Tesla’s board asks shareholders for a $1 trillion payout for Elon Musk, its sales in key Nordic markets are in freefall, underscoring the “no” vote from Norway’s sovereign wealth fund.
The carmaker’s new registrations in Sweden plummeted by 89% in October. The data was similar in Denmark (down 86%) and even in Norway (down 50%), the home of the dissenting wealth fund.
This sales collapse across Europe, along with a 13% drop in first-half global deliveries, forms a difficult backdrop for the board’s pay proposal.
The Norwegian fund, a $17 billion investor, cited the “total size” and “key person risk” of the award as reasons for its rejection.
While Tesla’s chair, Robyn Denholm, argues the package is essential to retain Musk, the slumping sales figures are providing ammunition for opponents, including advisory firms ISS and Glass Lewis, who question the timing of the record-breaking deal.