Nikola shares sink after its $100 million stock offering priced at 20% below market
Publishing timestamp: 2023-03-31 16:04:52
Summary
Electric truck maker Nikola announced a $100 million secondary stock offering priced at a 20% discount to Thursday's closing price, causing the company's shares to drop over 13% on Friday. Citigroup, Nikola's underwriter, was only able to place about a third of the shares with its clients, and an unnamed private investor has agreed to buy the remainder directly from Nikola. The company plans to use the funds for working capital and general purposes, including the launch of a new long-range electric semitruck powered by hydrogen fuel cells later this year.
Sentiment: NEGATIVE
Tickers: NKLA,
Keywords: nikola corp, business, technology, breaking news: business, climate, business news,
Source: https://www.cnbc.com/2023/03/31/nikola-stock-sale-priced-below-market.html