(MENAFN) Tesla revealed late Sunday that CEO Elon Musk is set to receive a restricted stock bonus valued at roughly $29 billion.

According to a securities filing, "On August 3, 2025, the Company approved an award of 96 million shares of restricted stock ('2025 CEO Interim Award') to Mr. Musk under the Company's 2019 Equity Incentive Plan ('2019 Plan')," the company stated.

The compensation package is structured to vest over a two-year period, contingent on Musk continuing as CEO or holding another key executive position, the company clarified.

However, as reported by media, this new award would be nullified if Musk becomes eligible to reinstate his previously contested $56 billion compensation package from 2018, which remains tied up in legal proceedings.

In January, Delaware Chancellor Kathaleen McCormick upheld a prior ruling in the case "Tornetta v. Musk," concluding that the 2018 compensation deal had been improperly approved.

Despite the ruling, Tesla shareholders voted to reapprove the original plan in June 2024.

The matter now lies before the Delaware Supreme Court, as Musk’s 2018 deal hinged on a set of company performance benchmarks—all of which were achieved.

In her January opinion, McCormick described the arrangement as "the largest potential compensation opportunity ever observed in public markets," noting it was 33 times greater than the next highest comparable executive incentive.

Following the announcement, Tesla shares rose more than 1.1% as of 15:30 GMT.

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