Tesla’s Governance Crisis Deepens as Shareholder Meeting Deadline Looms Amid Sales Slump
Tesla Inc. faces mounting pressure as it nears a legal violation for failing to schedule its 2025 annual shareholder meeting. A coalition of 27 institutional investors—including state treasurers and pension funds—has issued a formal demand for compliance with Texas corporate statutes. The delay compounds existing governance concerns surrounding CEO Elon Musk's political ventures and a passive board.
The automaker's stock traded at $296.30 amid a 13.5% year-over-year sales decline in Q2, marking two consecutive years of shrinking deliveries. Nasdaq listing requirements and state laws now pose dual threats of regulatory action. Market analysts note the meeting delay exacerbates reputational damage during a critical transition period for EV manufacturers.
