GM collaborates with Nicolas on “fraud controversy” “Nothing” “Choose not to acquire capital”

Input 2020.12.01 00:06

Nicolas in controversy over fraud … Domestic investors are also confused

General Motors of the United States (GM) has decided not to acquire a stake in Nikola, a hydrogen truck start-up that has been embroiled in a “fraud controversy”. In September, GM agreed to form a strategic alliance with Nikola, which has been called the “ second Tesla, ” and intended to secure an 11% stake in Nikola. lost.

According to foreign media such as the Wall Street Journal on the 30th, GM announced that it had decided not to acquire a stake in Nikola. As a result, the plan for the joint development of a commercial hydrogen truck that Nikola is developing has become uncertain. However, GM has announced that it will supply fuel cells to Nikola’s upcoming “Badger” pickup truck.

In early September, GM agreed to form a strategic alliance with Nikola for the joint development of hydrogen vehicles and equity investments. Under the agreement, GM was to acquire 11% of Nikola’s shares for a value of $ 2 billion (about 2.2 trillion won). Instead of acquiring a stake without putting in any money, GM intended to supply Nikola with fuel cells and electric batteries for the production of hydrogen vehicles. When this news came, Nikola’s stock price went up.

However, shortly after the news that GM and Nicola would be working together, Nicolas was controversial. Hindenburg Research, an agency specializing in short selling, raised doubts about the founder’s morale as it questioned Nikola’s technology and manufacturing capabilities. As a result, the United States Securities and Exchange Commission (SEC) and the United States Department of Justice have launched an investigation. As public opinion deteriorated, founder and president Trevor Milton eventually resigned.

At the time, GM maintained its intention to continue cooperation, saying, “We have performed proper due diligence on Nikola.” GM sought a way to partner with Nikola to bolster the corporate image towards green mobility as it transitioned for electric vehicles to replace internal combustion locomotives.

GM’s decision left Nikola investors in great confusion. Even after allegations of Nikola’s fraud were raised, some investors have trusted Nikola’s technology because global companies, including GM, will continue to partner with Nicolas.

Nikola is also an American stock that has been heavily invested by domestic investors. According to the Korea Securities Depository, in October (1st to 31st), domestic investors bought Nikola stock for $ 23,352,237 (approximately 2,470 million won). This is ranked 12th among all foreign stocks in October based on the net liquidation amount of the purchase.