Tesla stock rose 2% on Monday after the electric-vehicle maker’s board approved a new pay package for CEO Elon Musk.

Tesla said in a securities filing on Monday that its board approved a stock award for Musk that it tentatively valued at $23.7 billion.

The electric-vehicle maker said the 96 million shares will vest two years after approval as long as Musk remains in his job as CEO, or under another executive title responsible for either product development or operations.

In January 2024, a Delaware court voided Musk’s pay package, worth about $50 billion at the time, on the grounds that it was unfair to shareholders.

It’s no surprise the move is giving Tesla stock a boost—investors will be hoping it keeps Musk at the helm, at a time when the world’s richest person is juggling roles at several other companies and outlining plans to launch his own political party.

“We are confident that this award will incentivize Elon to remain at Tesla and focus his unmatched leadership abilities on further creating shareholder value for Tesla shareholders and attracting and retaining talent at Tesla,” the EV maker said in a letter to shareholders. “To be clear, losing Elon would not only mean the loss of his talents but also the loss of a leader who is a magnet for hiring and retaining talent at Tesla.”

The shares awarded look like “a middle ground between compensating Musk for the value added to Tesla and incentivizing Musk to prioritize Tesla product development over the coming years,” Baird analyst Ben Kallo said in a research note. He rates the stock at Neutral, with a $320 price target.

Musk’s pay package also appeared to be helping investors look past a drop in Tesla’s China sales. Deliveries of China-made vehicles fell 8.4% in July, the EV maker said on Monday.