Meta Considers Leaving Delaware for Texas or Other States
Meta Platforms (META) is reportedly exploring the possibility of relocating its incorporation from Delaware to Texas or other states, according to a report by the Wall Street Journal.
Citing sources familiar with the matter, WSJ states that Meta has engaged in discussions with Texas officials regarding the potential move. The discussions are said to have begun before the current presidential administration.
The incorporation change would not involve moving Meta's corporate headquarters, which remains in California. Meta has not yet responded to a request for comment, but a company spokesperson told WSJ that there are no plans to relocate the headquarters.
Meta's potential move mirrors a similar decision made by Elon Musk, who recently reincorporated Tesla and SpaceX to Texas. Musk's move followed a court ruling in Delaware ordering him to forfeit his $56 billion compensation package.
Texas is attractive to some businesses due to its favorable legal and regulatory environment, particularly regarding taxation and corporate governance. This can appeal to companies seeking to reduce costs and streamline operations.