Meta In Talks To Reincorporate In Texas or Another State, Exit Delaware

According to the Wall Street Journal (paywalled), Meta is in talks to move its incorporation from Delaware to Texas or other states. Reuters reports: The social media giant has talked to Texas officials about the potential changes, WSJ said, adding that the discussions predate President Donald Trump's new administration. The paperwork change would not relocate its corporate headquarters.

A Meta spokesperson said that it does not plan on shifting its corporate headquarters out of Menlo Park, California, but declined to comment on reincorporation when contacted by Reuters. Texas is perceived by some businesses as having a more favorable legal and regulatory environment, particularly in areas such as taxation and corporate governance, which can be attractive to companies looking to cut costs and streamline operations.

Awww...

[dskoll]

Poor widdle multi-billionaires need to hang on to more billions...

Move Over Cayman Islands...

[Thelasko]

there's a new sheriff... er... tax haven in town!

Zuck cannot compare to Musk

[stabiesoft]

He is just following Leon to TX. Zuck could only dream to achieve things like https://www.cnbc.com/2025/01/3... [cnbc.com] Musk has now put his hand in the US Treasury cookie jar. This should frighten even the republicans in the house/senate. But it won't until too late.

Re:

[Darinbob]

They're not moving. It's just incorporating. Meta was never headquartered in Delaware. This is all a corporate thing, each state has different rules, and Delaware used to be the most friendly for most companies, but it's still too fussy about old fashioned ideas like "laws" to appeal to the techbros.

Re:Zuck cannot compare to Musk

[stabiesoft]

I was talking about corp charter location. Leon has moved those from Delaware to TX, all of them. Because as you say, DE judge thought the board played a little too fast and loose with Leon's comp package. In Leon's case though he also moved the physical location (from CA) to TX. Don't be surprised if Zuck follows on that as well in time. Income taxes for Zuck in Palo Alto are probably pretty stiff. Although I imagine Zuck does what all the billionaire's do. Borrow against shares that are never sold, hence no gain, hence no tax. Although all of this may be idle talk if what appears to be a coup with musk taking over treasury with don's blessing. Seriously, what spaceX/tesla top level lieutenant of musk would trade their massive pay package for a job in the federal gov? And yet here we seem to be. https://www.cnbc.com/2025/01/3... [cnbc.com]

Re:

[Darinbob]

Income taxes don't mean much if you're that rich. As an old boss once told me, if you pay income tax then you're not rich enough. California is no different than other states, meaning lots of tax dodge loopholes. Building wise, Texas has higher real estate taxes, Musk I assume knew that and he moved not because it was going to be more profitable but because he lost his temper. CA income tax is still a fraction of federal taxes, so Musk could have moved to another country... no wait, almost all of them yo

Some consequences take time to play out

[tiqui]

This is, quite likely, part of what will be a long, slow rollout of consequences for a reckless bunch of judges in Delaware. Delaware was once such a business-friendly state that many businesses PHYSICALLY located elsewhere were incorporated in Delaware [technical.ly] and contracts with them were governed by Delaware law. Look at the paperwork for your bank and/or credit card companies... there's a pretty good chance your financial services are from a Delaware corp.

Then Elon Musk bought Twitter, and the leftists went insa