Nikola Refutes Allegations

Rhea-AI Summary

Nikola Corporation (NASDAQ: NKLA) has issued a statement responding to claims by an activist short-seller, labeling the allegations as misleading and motivated by profit-seeking. The company asserts that it will refute these claims and has retained legal representation to evaluate potential actions against the short-seller. Nikola plans to present evidence to the U.S. Securities and Exchange Commission regarding the activist's actions. Despite these challenges, Nikola emphasizes its commitment to fulfilling its promises to stakeholders.

Positive

• Nikola retains leading law firm Kirkland & Ellis LLP to evaluate legal recourse.
• The company plans to report the activist short-seller's actions to the SEC.

Negative

• The company faces allegations from an activist short-seller, which could impact investor confidence.

PHOENIX, Sept. 11, 2020 /PRNewswire/ -- Nikola Corporation (NASDAQ: NKLA) issued the following statement in response to claims made about the Company by an activist short-seller:

"Yesterday, an activist short-seller whose motivation is to manipulate the market and profit from a manufactured decline in our stock price published a so-called "report" replete with misleading information and salacious accusations directed at our founder and executive chairman. To be clear, this was not a research report and it is not accurate. This was a hit job for short sale profit driven by greed.

We have nothing to hide and we will refute these allegations.  They have already taken up more time and attention than they deserve. We have retained leading law firm Kirkland & Ellis LLP to evaluate potential legal recourse, including with respect to the activist short seller and any others acting in concert.

Nikola also intends to bring the actions of the activist short-seller, together with evidence and documentation, to the attention of the U.S. Securities and Exchange Commission.  

We respect the rights of investors and the integrity of the market and will be back to you after we have advanced the process with the SEC. 

Most importantly, Nikola remains focused on delivering on the promises we've made to our stakeholders."

About Nikola Corporation
Nikola Corporation is globally transforming the transportation industry. As a designer and manufacturer of zero-emission battery-electric and hydrogen-electric vehicles, electric vehicle drivetrains, vehicle components, energy storage systems, and hydrogen station infrastructure, Nikola is driven to revolutionize the economic and environmental impact of commerce as we know it today. Founded in 2015, Nikola Corporation is headquartered in Phoenix, Arizona. For more information, visit www.nikolamotor.com or Twitter @nikolamotor.

MEDIA CONTACTS: 
Nicole Rose, nicole.rose@nikolamotor.com, 602-499-4795
Colleen Robar, crobar@robarpr.com, 313-207-5960

 

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SOURCE Nikola Corporation

FAQ

What recent allegations has Nikola Corporation faced?

Nikola Corporation has faced misleading allegations from an activist short-seller, which the company has strongly refuted.

What actions is Nikola taking against the activist short-seller?

Nikola has retained legal counsel to evaluate potential actions against the activist short-seller and plans to report their activities to the SEC.

How does Nikola plan to address the allegations made against it?

Nikola plans to refute the allegations and has taken legal steps to address the situation.

What is the stock symbol for Nikola Corporation?

The stock symbol for Nikola Corporation is NKLA.