Nikola Motor Firm
Supply: Nikola Motor Firm
Electrical heavy-truck maker Nikola mentioned that its deliberate $100 million secondary stock offering, introduced on Thursday after U.S. markets closed, has priced at $1.12 per share – 20% under the inventory’s Thursday closing worth of $1.40.
Nikola’s shares closed on Friday at $1.21, down over 13%.
Even with the low cost, there seems to have been very restricted curiosity within the shares on Wall Avenue. Nikola’s underwriter, Citigroup, was solely capable of place a few third of the shares with its shoppers. An unnamed non-public investor has agreed to purchase the rest straight from Nikola, the truck maker mentioned.
Nikola plans to make use of the cash raised for working capital and different normal functions. The corporate is making ready to launch a brand new long-range electrical semitruck powered by hydrogen gas cells later this yr. The brand new truck will complement Nikola’s shorter-range Tre battery-electric heavy truck, which started transport final yr.
Nikola had $233.4 million in money and equivalents accessible as of Dec. 31. The truck maker lost $222.1 million within the fourth quarter of 2022.
