With a potential deal with General Motors hanging in limbo, Nikola Motors announced Wednesday that it had canceled the reveal event for its Badger electric pickup truck.
The event, dubbed Nikola World, was to be held in Arizona in December. It was called off due to coronavirus-related restrictions on large in-person gatherings at venues in the state, a Nikola press release said. The company plans to reschedule, and said it will hold or refund tickets, depending on holders’ preferences.
The Badger was first shown to the public as a series of sketches meant to troll Tesla CEO Elon Musk shortly after the Cybertruck unveiling in November 2019. Nikola confirmed plans to sell the truck in February, and began taking reservations, but hasn’t even shown a prototype version yet. The company previously said production would start in 2022.
Nikola previously quoted a 600-mile range for the Badger, which will have both
What seemed like a simple matter of crossing the t’s and dotting the i’s has turned into a protracted challenge for General Motors and Nikola, after negotiations to pair up and produce new zero-emissions trucks have been extended.
The $2 billion deal, announced Sept. 9, was billed as a “partnership made in heaven,” according to Nikola founder and then-chairman Trevor Milton, during a media call with GM CEO Mary Barra. But the Phoenix-based startup has since been hammered by claims of fraud, with a Securities and Exchange Commission probe now underway. Allegations surfaced this week of sexual abuse by Milton, who stepped down as chairman last week. Nikola’s stock has plunged to barely a quarter of what it was worth when the company went public last June.
Talks expected to wrap up today could now run through Dec. 3, at which time the proposed deal “may be terminated by either
Electric truck startup Nikola said Wednesday it was postponing a December launch event due to Covid-19 as it seeks to reset expectations following recent controversies.
The Arizona-based company said the “Nikola World” event, which nad been billed a potential launch of new vehicles and technology on December 3, would be rescheduled to a time when “we can bring the Nikola community together safely.”
The company, which has been beset by questions over its business viability and its former chairman, also put out a timetable with targets for completing a US factory, finishing vehicle prototypes and commencing production, according to a press release that boosted shares.
Citing recent policy actions by the European Union and California on the hydrogen economy and phasing out gasoline-fueled cars, Nikola is developing environmental trucks, fueling stations and recreational vehicles to meet “the need for green transport solutions.”
(Bloomberg) — Nikola Corp. wants to put allegations of deception behind it with a push to showcase its own innovations and detail how it plans to get its clean-powered trucks to market.
Executives at the embattled startup are talking to investors to rebut criticism it has no working prototypes and to clarify its business plans after the resignation of founder and former Chairman Trevor Milton. That effort includes highlighting technology with existing or pending patents, explaining the role partners will play and providing better milestones on efforts to start production.
“Our message is the same as it was before,” said Chief Executive Officer Mark Russell in an interview. “We have an ecosystem of partners that have validated what we’re doing. We believe we’re within three years of producing a fuel cell truck and one year of producing a battery-powered truck.”
Nikola executives will also use planned and direct
Nikola’s stock price has been in freefall since a short-seller report accused the company of misleading investors.
Steve Kalayjian of Ticker Tocker thinks there could be further pain for the “broken stock” and it could crash to $5, from around $19.50, where it currently trades.
The stock received its first sell-rating from Wedbush this week after Nikola CEO Trevor Milton has stepped down.
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Shares in electric truck maker Nikola have been on a roller-coaster journey this month, ever since a scathing short-seller report complained the company had misled investors and one strategist is predicting the stock could lose another 75% in value.
Steve Kalayjian, chief strategist and co-founder of trading platform Ticker Tocker told Business Insider: “Looking at Nikola’s stock chart. It’s a broken stock. I would avoid it. It could possibly go
The electric truck wars are getting even more charged. In a court document filed this week, Tesla accused rival Nikola of stealing the design for Nikola’s electric truck from Croatian car company Rimac Automobili.
Tesla made the claim in a filing responding to a lawsuit in which Nikola alleges that Tesla stole Nikola’s design of its electric truck— the Nikola One — for the Tesla Semi, which was unveiled in 2017.
Nikola introduced its electric truck in 2016. The Nikola One and the Tesla Semi resemble each other, sporting a curved windshield, bullet-like aerodynamic front and silver finish. Nikola is suing Tesla for $2 billion for infringing on its design, which Nikola claims it patented. Both companies are named after Nikola Tesla, whose technological inventions defined much of the 20th century.
Nikola, an electric truck startup, saw its stock price fly high as it went public and announced a deal with General Motors.
A damning short-seller report, however, pared some of those gains back to July levels.
Still, Wall Street analysts are firm in their convictions that the stock could rise more than 50%.
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Nikola, the high-flying electric-truck maker, hasn’t seen its stock price recover yet from the damage inflicted by a short-seller earlier this week, but that’s not for lack of optimism on Wall Street.
Analysts have largely been unswayed in their conviction about the startup, even after it corroborated some of Hindenburg Research’s allegations while rebutting its overall thesis. In analysts’ eyes, the stock could still have a 60% upside.
But that doesn’t mean things will be easy. The company hasn’t actually sold any trucks yet, and its $2 billion deal with