Roblox could follow Elon Musk out of Delaware

The reputation of Delaware as a most suitable state for businesses in the country has taken another hit.

Roblox is now the last company to offer to leave Delaware, according to a note that she sent to her shareholders this week. Many other large companies – such as Dropbox and Pershing Square Capital Management of Bill Ackerman – have also said in recent months that they had planned to leave Delaware. Meta, too, should also consider a decision.

The trend started with Elon Musk, who moved Tesla and SpaceX from Delaware last year after a Delaware judge has stored on the side of certain Tesla shareholders to block the salary package of $ 55 billion of musk.

In the note, the board of directors of Roblox, which has already approved this decision, urged the shareholders to support the proposal.

“We believe that the framework of business law in Nevada and the statutory regime are aligned with the culture of innovation, Roblox’s values ​​and mission to connect the world to civility and optimism,” the company told shareholders. “This also allows us to continue to create the value of shareholders by providing a favorable and predictable environment.”

The current exodus is devastating for Delaware, which has long been considered the most suitable state for the affairs of the country. According to the government of Delaware, the State is home to some 2.2 million registered entities, which contribute to millions to its income. In 2024, more than 80% of IPOs in the United States were incorporated into Delaware.

The Governor of Delaware Matt Meyer decided to make changes to respond to concerns.

“The fact is that Delaware is the best location in the world for a company to integrate and it is thanks to our legal expertise dating from 1792,” Meyer told Business Insider in February. “But let’s be clear: if an entity leaves Delaware, we will work to win them back.”

Meyer said that the balance of shareholders and management rights is one of the areas to which the state intended to address. “We are aware that there may be certain things that should change. We will work on it,” he said.

On March 25, the governor approved a number of changes offered. But for some companies, these fixes could be too late.

A Roblox spokesperson told BI that the company thought that reintegration into Nevada could “provide a stable and predictable legal environment in which the company can focus on innovation and growth”.