May 17, 2021, Brandenburg, Grünheide: Elon Musk, CEO of Tesla, stands at the construction site of the Tesla factory and salutes with his helmet.

Picture Alliance | Picture Alliance | Getty Images

Investors in Elon Musk’s electric vehicle company will receive two additional shares of Tesla after the market closes on Wednesday. And they will start trading on an adjusted split basis on Thursday.

Tesla shares were up about 1.8% Wednesday morning on anticipation, even though the stock split won’t change anything fundamental for the company’s stock.

Shareholders voted to approve Tesla’s 3-for-1 stock split at the company’s annual meeting Aug. 4 in Austin, Texas.

In theory, the split means more retail investors will be able to afford Tesla stock, but those investors are nothing compared to institutional investors, and fractional shares were already available to smaller investors.

In proxy filing Earlier this year, in proposing the new split, Tesla wrote that the move was intended to help the company “offer each employee the opportunity to receive equity” and help Tesla “realign the market price” of its common stock , to give employees “flexibility in managing their own capital.”

Investors will receive an additional two Tesla shares for every one they already own as of August 17, 2022.

Tesla’s last stock split, on a 5-for-1 basis, took place in August 2020.

WATCH: Here’s what you need to know about stock splits

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