Meta warned Wednesday that its CEO Mark Zuckerberg could leave California if the state passes a tax on billionaires.
The company declared Zuckerberg had informed its special committee of this possibility, and it decided to grant him a financial incentive to continue running the company from California for the next eight years, despite the risk of a “significant, multibillion-dollar tax payment.”
As part of Meta’s plan, outlined in a regulatory filingthe company would create a new class of shares allowing the CEO to sell up to half of his economic stake in Meta without giving up voting control.
“Zuckerberg informed the Special Committee that he was considering moving his primary residence outside of California and that proceedings toward such a move, including any listing of his California residential real estate on the market, would be public and inevitably noted and commented on by employees of the Company and, therefore, would raise questions for management of the Company in the future,” reads the filing with the Securities and Exchange Commission.
Gn headline
