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Tesla Seeks Independent Directors as Board's Musk Ties Eyed

  • Managers of $721 billion urge stronger corporate governance
  • Conflicts of interest permeate the board, investor letter says
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Why Tesla’s Market Cap Is About Belief, Not Evidence

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Tesla Inc. said it’s searching for independent directors as an influential group of investors pressures the electric-car maker’s board to add two members who don’t have ties to Elon Musk.

Five of Musk’s six fellow board members have personal or professional connections to the Tesla chief executive officer, which could jeopardize their independence, the California State Teachers’ Retirement System and four other investors wrote in a letter Monday to Tesla’s lead independent director. The managers of a combined $721 billion in assets also pushed for yearly director elections, rather than votes staggered every three years.