Tesla Inc. TSLA wants Robyn Denholm to continue as the chair of its board of directors, even as CEO Elon Musk is on the verge of being eligible to take up the role.
What Happened: “We believe that Ms. Denholm possesses specific attributes that qualify her to serve as a member of the Board and as its Chair,” Tesla said in a proxy filing with the U.S. Securities and Exchange Commission (SEC).
Tesla cited Denholm’s executive leadership experience and financial expertise as reasons for her to continue in the role as chair. The Palo Alto-based electric vehicle maker plans to hold its shareholder meeting on Oct. 7.
Musk too agreed with Denholm continuing as Tesla’s chair, noting in a tweet that “Robyn is great.”
See Also: Why This Tesla Analyst Sees Giga Berlin As Step Forward For EV Stock
Why It Matters: Denholm, 57, has been a Tesla board member since 2014 and its chair since November 2018.
In 2018, Musk agreed to step down as Tesla chairman for at least three years as part of a settlement with the SEC for his infamous “funding secured” tweet and his promise to take Tesla private at $420 a share. However, Musk’s three-year suspension will be ending soon.
It was reported earlier this month that Denholm sold $22 million worth of Tesla shares just as her three-year term as the company’s chair is drawing to a close.
Price Action: Tesla shares closed 0.7% lower in Friday’s trading at $717.17.
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