Following recent sell-offs of the most valuable automaker, Electric vehicle maker Tesla Inc (TSLA.O) on Friday made a proposal of a three-to-one stock split in order to make its shares more affordable.
In addition, the company declared that when Larry Ellison`s term, who is co-founder Oracle Corp and a friend of Tesla Chief Executive Officer Elon Musk, ends at this year's shareholder meeting, he will not stand for re-election to Tesla's board.
Ellison is among the top investors who have promised funding toward Musk's $44 billion acquisition of social media firm Twitter Inc.
Shares of Austin, Texas-based Tesla rose more than 1% in extended trading on Friday. This is whereas since Musk unveiled his stake in Twitter in early April, those shares have fallen nearly 40% which was affected in part by a strict lockdown in Shanghai that has hurt Tesla's production.
Shareholders will vote on Tesla's proposed stock split on Aug. 4. If approved, it would be the company's first such action after a five-for-one split in August 2020.