Published: Fri, November 09, 2018
Money | By Hannah Jacobs

Elon Musk replaced as Tesla company chair

Elon Musk replaced as Tesla company chair

Denholm, the chief financial officer of Australian telecommunications firm Telstra, has served on Tesla's board since 2014 but has fewer ties to Musk than most of the company's directors, according to Dow Jones Newswires.

Tesla says Denholm will leave Telstra after her six-month notice period with the company is complete.

Announcing the appointment, Tesla said in a statement that to "ensure a smooth transition...." In media interviews he said he often slept on a sofa in the Tesla office and more recently in an online video he briefly smoked marijuana.

Apart from appointing a new chairman, Tesla was required to appoint two new independent members to its board.

She also was national finance manager at Toyota Motor Corp.'s operations in Australia, and she's a member of the board at Swiss robotics and industrial machinery maker ABB.

The Securities and Exchange Commission gave Tesla until November 13 to name an independent board chair after Musk tweeted in August that he had "funding secured" to take the company private. Musk was required to pay the commision 20 million dollars which Tesla also accepted a 20 million dollar fine.

CHECK OUT: Who should lead Tesla's board after Musk steps down?

It's a pretty big deal given Musk has been the face of Tesla since he founded the company in 2003, but it's also great to see an Aussie woman at the helm of one of the most innovative ventures of the last decade. It was only the third time that Tesla has posted a quarterly profit in its eight-year history as a public company and the first time in two years.

The company had until next week to name the new chairman. The mid-priced Tesla Model 3 was the fifth bestselling passenger auto in America, according to the industry analyst Edmunds.

In it, Musk said he was considering taking Tesla private at $420 a share - and had funding secured. The aim is to provide stronger oversight to match Tesla's growing stature and market value.

Days after settling with the SEC over the now famous tweet, Musk turned around and mocked the agency, in another tweet.

A union-affiliated investor group and officials representing major pension funds in four states have called on Tesla to go beyond the terms of the SEC settlement to fix its corporate governance issues.

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