A Wall Street Journal report indicates a SpaceX acquisition of Tesla could eliminate obstacles to Elon Musk’s record-breaking compensation. Under the pay package terms, a change-in-control event automatically satisfies all operational milestones.
This provision makes the transaction value the sole determinant for the final payout. Every $500 billion in valuation would unlock specific portions of the stock award. These increments continue until the valuation reaches $7.5 trillion.
A transaction valuing Tesla at $8.5 trillion would grant Musk the maximum available shares. This award is estimated to be worth hundreds of billions of dollars.