Billionaire Elon Musk‘s brain implant company Neuralink Corp. has reportedly incorporated its business in Nevada, leaving Delaware behind.
What Happened: The shift was completed Thursday and alerted to shareholders via a notice, reported Bloomberg.
The move follows Musk’s recent spat with Delaware after his $56 billion pay package at EV company Tesla was invalidated by Delaware's Court of Chancery last month. The judge termed the package “an unfathomable sum” and said the board failed to ask whether the package was necessary for Tesla to retain Musk.
"Never incorporate your company in the state of Delaware," Musk wrote on X after the ruling. The CEO instead recommended either Nevada or Texas, arguing that these states would better serve the interests of shareholders.
Why It Matters: Last week, Musk also said that Tesla will hold a shareholder vote on transferring the company’s state of incorporation to Texas from Delaware after a Twitter poll on the matter witnessed more voters leaning towards incorporating the company in the state where it is headquartered. Currently, Tesla is headquartered in Texas and incorporated in Delaware.
For Neuralink, the shift in state of incorporation comes on the heels of a significant milestone. Last week, it was reported that Neuralink successfully implanted a device into a human brain for the first time. Musk stated that the patient was recuperating well and initial results showed promising neuron spike detection.
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Neuralink Photo by T. Schneider on Shutterstock
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