Amends Texas Business Organizations Code to mandate directors prioritize share value maximization.

The bill amends the Texas Business Organizations Code to require directors to prioritize the maximization of the corporation's share value in their duties. It establishes that prioritizing other considerations over share value is a breach of the director's fiduciary duty. The changes apply to actions taken by the board of directors on or after the act's effective date, which is September 1, 2025, unless the act receives a two-thirds vote in both legislative houses.

Amends Texas Business Organizations Code to mandate directors prioritize share value maximization.

The bill amends the Texas Business Organizations Code to require directors to prioritize the maximization of the corporation's share value in their duties. It establishes that prioritizing other considerations over share value is a breach of the director's fiduciary duty. The changes apply to actions taken by the board of directors on or after the act's effective date, which is September 1, 2025, unless the act receives a two-thirds vote in both legislative houses.