Written by Cláudio Afonso | LinkedIn | X
Nikola shares tumbled 5.04 percent to $0.5033 on Tuesday as shareholders wait for final results on the voting of all five proposals. The second proposal is, by far, the most anticipated one as it aims to get approval to reverse a stock split.
Without the approval of the measure, Nikola says it may face delisting from Nasdaq and limitations in securing capital for our ongoing operations and business goals.”
Last month, the chief executive Steve Girsky bought 1 million shares of the company at $0.54 per share, a new SEC Filing shows.
On X, Nikola wrote earlier today that the vote is “crucial” adding that shareholders’ voice “is needed to shape the future of Nikola and create a better world for today and tomorrow.” The shareholders can vote until 11:59 PM ET.
The Arizona-based company believes that the stock split, which would allow Nikola shares to trader above the Nasdaq threshold of $1, would “have a positive impact by addressing potential delisting concerns and resetting its financial foundation”.
The company has recently announced that AiLO Logistics, a drayage carrier operating in the Ports of Los Angeles and Long Beach, has placed an order for 100 Nikola hydrogen fuel cell electric vehicles (FCEVs) from Tom’s Truck Centers, a member of the Nikola sales and service dealer network.
Deliveries for this new order are scheduled for 2025. This follows a previous order of 50 Nikola FCEVs from Tom’s Truck Centers, with deliveries from that initial order having commenced and continuing throughout 2024.
Nikola has recently published its financial results for the first quarter of year reporting a decline in total revenues and a non-GAAP net loss per share of $0.09. The company produced 43 trucks in the first quarter of which 40 were shipped.
In May, TD Cowen analyst Jeffrey Osborne lowered the price target on Nikola shares by 50 percent to $0.50 while maintaining a Hold rating.
Written by Cláudio Afonso | LinkedIn | X
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The post Nikola Shares Tumble as Investors Wait for Stock Split Voting Results first appeared on EV.