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5 Units a shift by November means their Q4 production target will be 3 or 4 times Q2 and Q3's.
and that's before Phase 2 opens but includes capability to put some FC models on the production line.
Nikola Corporation Reports Second Quarter 2022 Results
Published August 04, 2022
https://nikolamotor.com/press_releases/nikola-corporation-reports-second-quarter-2022-results-191
Nikola Corporation Reports Second Quarter 2022 Results
August 04 2022
https://ih.advfn.com/stock-market/NASDAQ/nikola-NKLA/stock-news/88760082/nikola-corporation-reports-second-quarter-2022-res
Summary
- Produced 50 Nikola Tre BEVs in Coolidge, Arizona, and delivered 48 to dealers
- Reported revenues of $18.1 million and adjusted net loss per share of $0.25
- Cash & Restricted Cash of $529.2 million and $312.5 million remaining ELOC commitment totaling $841.8 million in total liquidity at the end of Q2, up from $794.0 million in Q1
- Announced station progress in California in the cities of Ontario, Colton, and a location servicing the Port of Long Beach
- Stockholders approved proposal 2 increasing authorized shares from 600 million to 800 million
PHOENIX, Aug. 4, 2022 /PRNewswire/ -- Nikola Corporation (Nasdaq: NKLA), a global leader in zero-emissions transportation solutions, today reported financial results for the quarter ended June 30, 2022.
"Our momentum continued during the second quarter as we began delivering production vehicles to dealers and recognizing revenue from the sale of our Nikola Tre BEVs," said Mark Russell, Nikola's Chief Executive Officer. "We are committed to executing on our second half milestones."
We reported $18.1 million in revenues on deliveries of 48 Tre BEVs and four (4) Mobile Charging Trailers (MCT) in Q2. Two (2) additional Tre BEVs were delivered in the first week of July, which will be reported as part of Q3 revenues. We increased our total liquidity to $841.8 million in Q2 from $794.0 million at the end of Q1. As mentioned in May, we also successfully raised $200 million in a private placement of convertible notes during the quarter.
Nikola Tre BEV Update
During the second quarter, we produced 50 Nikola Tre BEVs and delivered 48 of those to dealers. We also continued pilot testing with a number of fleets to help facilitate additional orders and build our backlog. Pilots completed / ongoing include:
- TTSI (Complete) – 106 days / 11,752 miles / 93% uptime
- Univar Solutions (Complete) – 14 days / 858 miles / 100% uptime
- Covenant Logistics (Extended & Ongoing) – 111 days / 3,423 miles / 94% uptime
- RoadOne / IKEA (Complete) – 36 days / 3,285 miles / 91%
- Benore Logistics Systems (Complete) – 30 days / 2,296 miles / 100% uptime
*MCTs are merchandised goods sourced from external suppliers and therefore are not a part of our manufacturing costs.
Nikola Tre FCEV Program Update
In the second quarter, we began Tre FCEV alpha pilot testing with TTSI in Southern California. As of today, the trucks have accumulated over 3,800 miles. We expect to begin FCEV pilot testing with Walmart in Southern California on August 22.
During the second quarter, we began building the first Tre FCEV betas. The first batch of betas are scheduled to be complete by the end of August. We expect to build two additional batches of Tre FCEV betas by the end of the fourth quarter. Beta trucks incorporate learnings from the alpha trials and will be used for engineering and product development.
Coolidge, Arizona Manufacturing Facility Update
We are ramping up production capacity in Coolidge, Arizona. We expect to increase our throughput to five units per shift by November of this year. Phase 2 expansion is underway and on track to be completed by Q1 2023.
H2 Dispensing Station Updates
On August 3, we announced we had made significant progress in partnership with TravelCenters of America on the first hydrogen dispensing station in Ontario, California. We have executed the definitive agreement, agreed on the station design, and have ordered key equipment.
We also executed a land lease in Colton, California to build a greenfield hydrogen dispensing station, and entered into an agreement to lease a parcel servicing the Port of Long Beach to build a greenfield hydrogen dispensing station. We anticipate the stations will be complete by Q4 2023.
Nikola - IVECO European JV
In June, together with IVECO, we agreed to expand our 50/50 European JV to include engineering and product development. During the second quarter, the JV entity began building the first EU Tre 4x2 BEV alphas. Production for EU Tre BEV is expected to commence in the second half of 2023. The JV also started building EU Tre FCEV betas, which are expected to begin production in the first half of 2024.
Nikola Announces Locations of Three California Hydrogen Dispensing Stations, Continued Scaling of Infrastructure
August 04 2022
https://ih.advfn.com/stock-market/NASDAQ/nikola-NKLA/stock-news/88759179/nikola-announces-locations-of-three-california-hyd
PHOENIX, Aug. 4, 2022 /PRNewswire/ -- Nikola Corporation?(Nasdaq: NKLA), a global leader in zero-emissions transportation and energy infrastructure solutions,?today announced the locations of three California hydrogen stations to advance and scale up its long-term hydrogen distribution solutions to service market demand. Nikola's integrated energy and zero-emissions truck portfolio will be underpinned by developing hydrogen supply and refueling infrastructure, an essential step in helping to decarbonize the heavy-duty transport sector.
Through the combined efforts of Nikola’s truck and energy teams, the company links hydrogen fuel cell electric vehicles with hydrogen production hubs and dispensing stations. These stations are an important step in the delivery of a broader array of hydrogen fueling solutions to the heavy-duty trucking industry.
The three California refueling stations and logistics infrastructure will be located in the cities of Colton, Ontario and a location servicing the Port of Long Beach. To further support truck demand, plans for additional stations are in progress and will be announced in the near future.
California is a launch market for Nikola and these stations will support key customers and advance the state's efforts to decarbonize the transport sector.
"This marks an important step in Nikola's ability to deliver innovative solutions and the infrastructure needed to decarbonize the transportation industry," says President, Nikola Energy Pablo Koziner. "Our hydrogen refueling stations, along with a comprehensive energy supply, will provide customers the support needed to transition their fleets to zero-emissions."
The Ontario location is part of Nikola's previously announced collaboration with TravelCenters of America.
"TA is committed to providing viable infrastructure to support the nation's shift toward alternative fuels, and this collaboration with Nikola reflects our ongoing commitment to this goal," said Jon Pertchik, Chief Executive Officer of TravelCenters of America. "The success of the transportation industry's transition toward alternative fuel adoption is dependent, in part, on collaborations like this."
There are a number of distribution centers in the city of Colton, making it an ideal location for future Nikola FCEV customers.
"The establishment of a 'clean fuel' facility for heavy-duty commercial vehicles, such as semi-trucks, is a huge step forward in seeing the trucking industry move towards these types of vehicles. Actions like these are building blocks to cleaner air for Colton residents and the surrounding region and we are proud to support initiatives that align with our vision," said Mario Suarez, Planning Manager, City of Colton, California.
The ports of Long Beach and Los Angeles are major global commercial transportation hubs and are focused on leading decarbonization. Our station servicing port customers will be a critical anchor of our hydrogen dispensing infrastructure.
"The Nikola hydrogen refueling stations represent an important step forward to enable zero-emissions logistics solutions in Southern California. The Port of Long Beach station is an ideal location to support ocean drayage solutions for TTSI and other logistics providers," said Mike Bible, Chief Executive Officer of TTSI. "TTSI is excited about the prospects of hydrogen fuel cell technology as a viable solution to decarbonize the freight trucking industry."
Nikola is bringing comprehensive zero-emission heavy-duty trucking solutions to market. Through the combined efforts of Nikola's truck and energy teams, the company links hydrogen fuel cell electric vehicles with hydrogen production hubs and dispensing stations. These stations are an important step in the delivery of a broader array of hydrogen fueling solutions to the heavy-duty trucking industry.
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.
IS THIS REALLY A GLIMPSE OF THE FUTURE?
Posted Aug 3, 2022
Flint Creek Transport
Due to limitation on number of posts, I'll post the following two battery related articles in one post:
1) Nancy Pelosi’s trip to Taiwan creates tension with Tesla battery supplier
By Maria Merano
Posted on August 2, 2022
https://www.teslarati.com/tesla-catl-battery-factory/
Tesla battery supplier Contemporary Amperex Technology Co. Ltd (CATL) decided to delay its plans to build a battery factory in North America after Nancy Pelosi’s trip to Taiwan.
Earlier this year, CATL started scouting sites across North America for its $5 billion cell plant. The Chinese battery supplier was considering sites in Canada and Mexico, capable of producing up to 80 GWh per year. In July, Teslarati reported that CATL narrowed its choices to two locations in Mexico.
However, Bloomberg sources recently stated that CATL plans to delay its battery factory plans until September or October. According to people familiar with the matter, U.S. House Speaker Nancy Pelosi’s visit to Taiwan might have created tension amid sensitive times between the United States and China.
WHY IS PELOSI’S VISIT CREATED TENSION
China considers Taiwan as part of its territory. During her visit, Nancy Pelosi’s visit seemed to reaffirm Taiwan’s sovereignty as an independent nation. She also hinted at the political ties between Taiwan and the United States.
“Today, our delegation … came to Taiwan to make it unequivocally clear we will not abandon our commitment to Taiwan and we are proud of our enduring friendship,” Pelosi said while standing in the presidential office in Taipei.
The US House Speaker is the highest-ranking US politician to visit Taiwan in the last 25 years. China issued a statement saying that Pelosi’s visit would have “severe impact” on US-China relations. It considers her visit as “provacative.” China reportedly responded to Pelosi’s visit by launching exercises and targeted military operations around Taiwan.
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2) Romeo Power enters long-term supply agreement with LG Energy Solution for 8GWh of Li-ion cells through 2028
13 August 2021
https://www.greencarcongress.com/2021/08/20210813-romeo.html
Romeo Power, a developer of electrification solutions for complex commercial vehicle applications, has entered into a long-term supply agreement for lithium-ion battery cells with LG Energy Solution, Ltd., a Tier 1 battery cell and materials manufacturer.
Under the agreement, LG Energy has committed to supplying cells to Romeo Power that equal 8 GWh of energy through 2028. Romeo Power expects to use the allocated cells to manufacture battery packs for approximately 29,000 electric vehicles sold or operated by its customers.
Romeo Power will facilitate LG Energy’s build of an additional assembly line in Ochang, Korea through a recoupable pre-payment of $64.7 million. The agreement was approved by both Boards of Directors and became effective on 10 August 2021.
Romeo Power’s suite of advanced hardware, combined with its innovative battery management system, delivers safety, performance, reliability and configurability. Romeo Power’s 113,000 square-foot manufacturing facility brings its flexible design and development process inhouse to pack what it says are the most energy-dense modules on the market.
Electric semis might get up to $40,000 credit under reconciliation bill moving through Congress
By Stephen Edelstein
AUGUST 3, 2022 8
https://www.greencarreports.com/news/1136707_electric-semis-40-000-credit-reconciliation-bill-congress
As Congress moves to extend and expand the federal EV tax credit for passenger cars, it's also considering a bill that would add a first-ever tax credit for electric commercial vehicles.
As described in a blog post from the Union of Concerned Scientists (UCS), the current version of the bill includes a tax credit of up to $7,500 for vehicles with a gross vehicle weight rating (GVWR) of less than 14,000 pounds, including pickup trucks and vans, and up to $40,000 for larger vehicles like semi trucks and garbage trucks.
The bill also sets out a minimum battery-pack size of 7 kwh for sub-14,000-pound GVWR vehicles and 15 kwh for larger vehicles. As with the current passenger-car tax credit, vehicles with larger packs will likely receive a larger credit.
In addition to the incentives, which would run through 2032, the bill also includes $1 billion to fund electric heavy-duty commercial vehicles (including school buses) and infrastructure, and $3 billion for the electrification of the new United States Postal Service delivery fleet and associated charging infrastructure.
The commercial-truck incentives are part of the same bill and legislation package that might potentially re-up the EV tax credit to lift the 200,000-vehicle ceiling, make the $7,500 credit a point-of-sale one, and add $4,000 for used EVs. And it could have a comparably-large impact on emissions.
Despite accounting for only 10% of vehicles on U.S. roads, heavy-duty commercial vehicles are responsible for 28% of greenhouse gas emissions, 45% or nitrogen-oxide emissions, and 57% of fine particulate emissions, according to the UCS. California has already issued a mandate for electric trucks, aiming for 100% EV sales by 2045.
Some manufacturers have started marketing all-electric commercial trucks. Megawatt charging for big trucks has just been formalized, and models utilizing it might be available in the next year or two. Research suggests incentives could dramatically accelerate that market.
Real-world testing has verified the cost savings of electric trucks—and helped realize that electric trucks lower the level of driver fatigue. That's what Daimler found after a test fleet of electric trucks racked up one million miles with actual customers. Operating costs for electric trucks can be 14% to 52% lower, and repair costs 40% lower, than current diesel trucks, the UCS estimates.
Incentives or not, a broader coalition of states is preparing to mandate more zero-emission commercial vehicles. Seventeen states, the District of Columbia, and Canada's Quebec province recently stood by a plan to electrify 30% of trucks and buses by 2030—despite a legal challenge that's coming, partly, from inside the industry that's simultaneously talking up EVs and looking for the credit.
Teifhals, per the recent press release, the exchange rate is set at 0.1186 NKLA shares per RMO shares (Source https://nikolamotor.com/press_releases/nikola-agrees-to-acquire-romeo-power-to-bring-battery-pack-engineering-and-production-in-house-189). Also, I believe that the deal has high probability of going through, since the deal is mutually beneficial to both Nikola Motors and Romeo Power, as reflected by the fact that both have experienced a similar rise in share price (percentage wise) since the deal was announced.
Relevant excerpt from the press release:
Wouldn’t the RMO shares get converted at NKLA at a ratio. like 1 NKLA for every 7 RMO? At the trading price when the deal closes?
My strategy of selling NKLA and buying RMO shares, appears to be paying off so far. Ultimately, it will depend on whether or not the deal goes through, and I put a high probability that it does go through. Opinions are welcomed. Thank you in advance.
see what the extra 200m shares will help build out - phase 2 starting
Nikola Earnings Previews
Earnings Previews: Alibaba, ConocoPhillips, Nikola, Paramount Global
Paul Ausick
August 2, 2022 1:28 pm
Over the past 12 months, electric and hydrogen-powered truck maker Nikola Corp. (NASDAQ: NKLA) has seen its share price tumble by 37.8%. Since reaching a peak in early June of 2020, just a week after the IPO, Nikola stock is down by about 91%. The company announced Tuesday morning that it will acquire battery maker Romeo Power for $144 in Nikola stock. The company recently asked a federal judge to quash a subpoena from founder and former CEO Trevor Milton who is defending himself against criminal fraud charges.
Just eight analysts cover the stock and seven of those have given it a Hold rating. The other one rates the stock a Buy. At the current price of around $7.00, the upside potential based on a median price target of $8.00 is 14.3%. At the high price target of $15.00, the implied gain is 114.3%.
Analysts are forecasting second-quarter revenue at $16.58 million and expect Nikola to report a loss per share of $0.27. In the prior quarter, Nikola reported a loss of $0.21 per share and no revenue. For the full year, the company is expected to lose $1.09 per share, more than the loss per share of $0.79 in 2021. Analysts also expect Nikola to report $114.85 million in revenue for the full fiscal year. The company did not report any revenue last year.
Nikola is not expected to post a profit in 2022, 2023, or 2024. The enterprise value to sales multiple for 2022 is 22.8. For 2023 and 2024, the multiple is 4.2 and 1.7, respectively. The stock currently trades at an estimated sales to enterprise value multiple of 18.3 times for 2022 and 3.2 times for 2023. The stock’s 52-week range is $4.42 to $15.56. Nikola does not pay a dividend. The total shareholder return for the past 12 months is negative 37%.
https://247wallst.com/investing/2022/08/02/earnings-previews-alibaba-conocophillips-nikola-paramount-global/
Public Messages search for: NKLA
https://investorshub.advfn.com/boards/msgsearch.aspx?searchStr=NKLA
Nikola Q2 2022
Aug 04, 2022
09:30 AM EDT Nikola Q2 2022 Financial Results and Q&A Webcast
https://nikolamotor.com/investors
Getting exciting! The next few years will be a joy IMO.
Merger Agreement
On July 30, 2022, Nikola Corporation, a Delaware corporation (the “Company”), entered into an Agreement and Plan of Merger and Reorganization (the “Merger Agreement”) with Romeo Power, Inc., a Delaware corporation (“Romeo”), and J Purchaser Corp., a Delaware corporation and a wholly owned subsidiary of the Company (“Purchaser”). Pursuant to the Merger Agreement, and upon the terms and subject to the conditions thereof, Purchaser will commence an exchange offer (the “Offer”) to acquire all of the issued and outstanding shares of common stock, par value $0.0001 per share, of Romeo (“Romeo Common Stock”) for the right to receive 0.1186 of a share (the “Exchange Ratio”) of common stock, $0.0001 par value per share, of the Company (“Company Common Stock”).
https://www.sec.gov/ix?doc=/Archives/edgar/data/1731289/000119312522209149/d580862d8k.htm
https://www.sec.gov/Archives/edgar/data/1731289/000119312522210125/0001193125-22-210125-index.htm
https://www.sec.gov/cgi-bin/browse-edgar?CIK=0001731289&owner=exclude
https://nikolamotor.com/investors/sec?active=sec
Nikola Stockholder Meeting: Proposal 2 Passes
Stockholders approve increase in authorized number of shares from 600M to 800M
Published August 02, 2022
https://nikolamotor.com/press_releases/nikola-stockholder-meeting-proposal-2-passes-190?utm_source=Reddit&utm_medium=social&utm_campaign=proxy_release18
RMO closed @.71 today.....if you could have bought RMO shares @.5 or below a month ago or even last week imo it would have been well worth it
https://www.tradingview.com/chart/uZbZ0HkZ/
UK, as mentioned in a previous post, due to lack of funds to purchase new shares, I have been selling most of my NKLA shares and buying RMO shares, resulting in an effective 11% increase in my NKLA shares post the 0.1186 conversion of RMO to NKLA shares, assuming the deal goes through as expected before the end of October. I am putting a very low risk that the deal does not go through. Is this too risky a strategy in your opinion? Any other board member please feel free to chime in as well. Out of free posts for today and look forward to your responses.
Darkinvestor, note that the conversion rate is 0.1186, slightly higher than the 0.114 in your post (See https://investorplace.com/2022/08/nkla-stock-alert-what-to-know-about-nikolas-deal-for-romeo-power/)
each RMO share will yield you roughly 0.114 of NKLA shares.
If you do want to try this I would do it now since if they have the votes for the increase in shares I am expecting a nice increase in SP as funding phase 2 building will be cheap. News this pm.
Srm4u, in your opinion, does it make sense to buy RMO shares instead of NKLA to eventually get NKLA shares? It seems like a cheaper way to buy NKLA shares right now. Or is it too risky a strategy, in case the deal falls apart?
Nikola Corporation flair_name:"Hydrogen Fueling Stations"
https://www.reddit.com/r/NikolaCorporation/search?q=flair_name%3A%22Hydrogen%20Fueling%20Stations%22&restrict_sr=1
Just wanted to point out that the recently announced battery deal with Romeo Power, does not mean that Nikola is changing its strategy with respect to the Hydrogen Fuel Cell Electric Vehicles (HFCEV) trucks. In fact, HFCEV trucks, although powered by hydrogen fuel cells, still need a battery for power management and to take advantage of regenerative breaking, obviously just not as big as for fully electric trucks.
Romeo Power's Brand New State-of-the-Art Manufacturing Center in Orange County, CA will Soon Be a Nikola Factory (Article on Factory From 7/25/2022)
Did you see this. But it looks like this firm chases all mergers.
Under the terms of the agreement, Romeo Power will be acquired by Nikola Corporation (Nasdaq - NKLA) in an all-stock transaction. Under the terms of the merger agreement, the proposed exchange ratio implies a consideration of $0.74 per Romeo share and values 100% of Romeo's equity at approximately $144 million. The investigation concerns whether the Romeo Power Board breached its fiduciary duties to shareholders by failing to conduct a fair process, and whether the Nikola Corporation is paying too little for the Company. For example, the deal consideration is below the 52-week high of $7.44 for the Company's shares.
Additional information can be found at https://www.brodskysmith.com/cases/romeo-power-inc-nyse-rmo/.
https://www.reddit.com/r/NikolaCorporation/comments/wdscw2/romeo_powers_brand_new_stateoftheart/
https://investors.romeopower.com/news/news-details/2022/Romeo-Power-Announces-Successful-Completion-of-its-Relocation-to-New-State-of-the-Art-Manufacturing-Center-in-Orange-County-CA/default.aspx
Why Nikola's Latest Acquisition Will Be A Game-Changer (Romeo Power)
Aug 1, 2022
I am bag holding too deep on NKLA so just hopeful it keeps rebounding.
Sold some NKLA shares and bought RMO shares for a guaranteed 10% profit if the deal goes through. What's everyone else doing?
Romeo Power was valued at $900 million at the time of the SPAC merger with RMG Acquisition on Dec 30, 2020 (Source https://investorplace.com/2020/12/romeo-power-spac-merger-13-things-to-know-about-rmo-stock-as-it-starts-trading-today/). At its peak in early 2021, the Romeo Power share price was over $22. On February of this year, Romeo Power acquired the portion of the JV with the international battery manufacturer BorgWarner they did not own for $28.6 million, using cash on hand (Source https://investors.romeopower.com/news/news-details/2022/Romeo-Power-Completes-Acquisition-of-Joint-Venture-Interest-From-BorgWarner/default.aspx). Today Nikola announced purchasing 100% of Romeo Power for $144 million (share price $0.74). Sounds like a very good deal to me, for Nikola that is.
Checking a few things this is a very small transaction in terms of shares - 20 -23m. I think we currently have 150m + difference between authorised and outstanding so easily done with current share count.
BUT it would weaken their position if the votes are not in for tomorrow.
It is a significant benefit for the cost of goods sold though big cost reduction on battery packs just as they start ramping up to 10 per day...
UK, I agree, they must have the votes.
From the press release, Nikola will buy Romeo Power for $144 million by exchanging Nikola shares. To calculate how many Nikola shares, or how dilutive this would be for the current Nikola shareholders, I divided the $144 million, by the Friday Nikola share closing price of $6.22 and I get 144/6.22 = approximately 23 million Nikola shares (which I assume is 4.5% of the current outstanding shares, as mentioned in the PR). Is this correct? Sounds like a very good deal to me. Does it make more sense to buy Romeo Power shares below $0.74 to get Nikola shares, or to buy Nikola shares directly on any drop in share price? Opinions?
Despite what they say, they must have the votes for tomorrow meeting then in order to enter an all share purchase agreement.
Yeh!
Nikola Agrees to Acquire Romeo Power, To Bring Battery Pack Engineering and Production In-House
August 01 2022
https://ih.advfn.com/stock-market/NASDAQ/nikola-NKLA/stock-news/88722024/nikola-agrees-to-acquire-romeo-power-to-bring-bat
Summary
- Acquisition will secure control of critical battery pack engineering and production process
- Transaction expected to yield annual cost savings of up to $350 million by 2026
- Romeo's Cypress, California facility will become Nikola's Battery Center of Excellence
- Nikola to host analyst and investor webcast on August 1 at 11:00 a.m. Eastern Time (8:00 a.m. Pacific Time)
PHOENIX, Aug. 1, 2022 /PRNewswire/ -- Nikola Corporation (NASDAQ: NKLA), and Romeo Power, Inc. (NYSE: RMO), today announced they have entered into a definitive agreement in which Nikola, a global leader in zero-emissions transportation and energy infrastructure solutions, will acquire Romeo, an energy technology leader delivering advanced electrification solutions for complex commercial vehicle applications, in an all-stock transaction. The proposed exchange ratio implies a consideration of $0.74 per Romeo share and represents an approximately 34% premium to Romeo's July 29, 2022 closing share price and values 100% of Romeo's equity at approximately $144 million.
Nikola's acquisition of Romeo Power is an important strategic move for Nikola with minimal capital outlay that will bring Romeo’s deep battery and BMS engineering capabilities in-house. It is expected to accelerate Nikola’s product development, increase range and charge rates, and improve customer experiences.
Headquartered in Cypress, California, Romeo is an energy storage technology company focused on designing and manufacturing lithium-ion battery modules and packs for commercial vehicle applications. As Romeo's largest customer, Nikola expects the acquisition will allow for significant operational improvement and cost reduction in battery pack production. The addition of Romeo's battery and battery management system (BMS) engineering capabilities are also expected to support accelerated product development and improved performance for Nikola customers.
"Romeo has been a valued supplier to Nikola, and we are excited to further leverage their technological capabilities as the landscape for vehicle electrification grows more sophisticated. With control over the essential battery pack technologies and manufacturing process, we believe we will be able to accelerate the development of our electrification platform and better serve our customers," said Mark Russell, Nikola's Chief Executive Officer. "Given our strong relationship with Romeo and ongoing collaboration, we are confident in our ability to successfully integrate and deliver the many expected strategic and financial benefits of this acquisition. We look forward to creating a zero-emissions future together."
Robert Mancini, Romeo Power's Chairman of the Board of Directors, added, "As Romeo's largest customer, Nikola has been a cornerstone of our development and growth, and this is a natural evolution of our relationship. Our products provide critical energy density important to heavy-duty vehicles, combined with safety performance and battery management software. Following an extensive review of alternatives, we firmly believe that this combination offers the best opportunity for Romeo shareholders to participate in the ongoing value creation at a larger scale, stronger combined company. It is exciting to see Romeo joining the Nikola family."
Compelling Strategic Rationale
- Vertical integration and single product focus will drive significant operational improvement and cost reduction for one of the most expensive components of the bill of materials
- Integrated commercial vehicle electrification platform is expected to lead to manufacturing excellence and expected annual cost savings of up to $350 million by 2026; reduce non-cell related battery pack costs by 30-40% by the end of 2023
- An important strategic move for Nikola with minimal capital outlay that will bring Romeo's deep battery and BMS engineering capabilities in-house; expected to accelerate Nikola's product development, increase range and charge rates, and improve customer experiences
- Provides Nikola with domestic battery pack manufacturing capability, complementing Nikola's commitment to dual-source battery pack strategy to satisfy capacity needs
- Romeo has proven battery pack technologies and a significant battery cell supply agreement in place
- Nikola is Romeo's largest production customer, and the parties have strong ongoing engineering collaboration
Exchange Offer
The transaction has been approved by the Boards of Directors of both companies. Under the terms of the agreement, Nikola will commence an exchange offer to acquire all of the outstanding shares of Romeo common stock. Under the terms of the agreement, Romeo stockholders will receive 0.1186 of a share of Nikola common stock for each Romeo share, representing an equity value of approximately $144 million and 4.5% pro forma ownership of Nikola. The transaction is expected to be completed by the end of October 2022, subject to the tender by Romeo's stockholders of shares representing a majority of the outstanding Romeo common stock, and customary closing conditions, including regulatory approval. Upon the successful completion of the exchange offer, a newly-formed subsidiary of Nikola will be merged into Romeo, and any remaining shares of Romeo common stock that were not tendered in the exchange offer will be canceled and converted into the right to receive the same consideration payable in the exchange offer.
Interim Liquidity Support
Nikola has agreed to provide Romeo with $35 million in interim funding to facilitate continued operations through closing. Funding will consist of $15 million in senior secured notes and up to $20 million for a pack delivery incentive which is a temporary price increase for each pack delivered through expected transaction close. Additional liquidity support is available in the event the transaction closing is delayed.
Investor Presentation
A supplemental presentation regarding the transaction is available on the Investor Relations section of the Nikola website.
Webcast and Conference Call Information
Nikola will host a webcast for analysts and investors at 11:00 a.m. Eastern Time (8:00 a.m. Pacific Time) on August 1, 2022 at https://www.webcast-eqs.com/nikola20220801/en.
For those unable to participate in the live session, a recording of the webcast will be available on Nikola's Investor Relations website.
Advisors
Citigroup Global Markets Inc. acted as sole financial advisor to Nikola on the transaction, and Pillsbury Winthrop Shaw Pittman LLP served as legal advisor.
Morgan Stanley & Co. LLC acted as sole financial advisor to Romeo on the transaction, and Latham & Watkins LLP served as legal advisor.
Nikola Annual Meeting of Stockholders
Nikola's Annual Meeting of Stockholders is being held on Tuesday, August 2, 2022, at 3:00 p.m. Pacific Time. Nikola intends to file today a supplement to its proxy statement for the Annual Meeting. Nikola has sufficient shares of authorized but unissued common stock available to complete the proposed transition and will not need to use any of the share increase being considered at the Annual Meeting.
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.
About Romeo Power, Inc.
Founded in 2016 and headquartered in Cypress, California, Romeo Power (NYSE: RMO) is an energy technology leader delivering advanced electrification solutions for complex commercial vehicle applications. The Company's suite of advanced battery electric products, combined with its innovative battery management system, delivers the safety, performance, reliability and configurability its customers need to succeed. To keep up with everything Romeo Power, follow the Company on social media, @romeopowerinc or visit romeopower.com
Update to my previous post "Highlights from the proposed Schumer/Manchin Reconciliation Bill" https://s3.documentcloud.org/documents/22122281/inflation_reduction_act_of_2022.pdf
Page 393
‘‘SEC. 45W. CREDIT FOR QUALIFIED COMMERCIAL CLEAN VEHICLES.
‘‘(4) LIMITATION.—The amount determined under this subsection with respect to any qualified commercial clean vehicle shall not exceed—
‘‘(A) in the case of a vehicle which has a gross vehicle weight rating of less than 14,000 pounds, $7,500, and
‘‘(B) in the case of a vehicle not described in subparagraph (A), $40,000.
Nikola Corporation (NASDAQ: NKLA)
https://www.reddit.com/r/NikolaCorporation/new/
NKLA Nikola Questions Answered - By Paul@Nikola Motor Company
Jul 29, 2022
Nikola Hydrogen GOLD RUSH is COMING!!!!
Jul 29, 2022
Aug 04, 2022
09:30 AM EDT Nikola Q2 2022 Financial Results and Q&A Webcast
https://nikolamotor.com/investors
Most folks think you install a EV Charging Station somehow the power comes out of the ground into it to power it up, NOPE, it has to be connected to a sometimes overloaded Electrical Grid powered by guess what Fossil Fuels, oh well it makes folks feel better and that is the goal say you are saving the planet sounds nice but not happening here folks on the front end. Oh well stupid is as stupid does.
Not up to date data about fossil fuels.
Solar power from single to fleet sized stations have been displacing the electrical grid hooks ups by the month.
Even the costs to install stations is at a large discount to tearing up property to lay new wiring and sub structures. The cost of batteries has come down tremendously as well, and the cost of charging has come down as much as 1000/1200 dollars a kilowatt hour to 100's an hour. Due to alternative options to charge the vehicle. Not to mention the investments and research into wind turbines as well.
Do a internet satellite map search in china and look at the size of their solar arrays.
Fossil fuel monopoly does not want people to know this.
Highlights from the proposed Schumer/Manchin Reconciliation Bill https://s3.documentcloud.org/documents/22122281/inflation_reduction_act_of_2022.pdf
Page 254
(b) FURTHER EXTENSION FOR CERTAIN ENERGY PROPERTY. Section 48(a)(3)(A)(vii) is amended by striking ‘‘January 1, 2024’’ and inserting ‘‘January 1, 21 2035’’.
(c) PHASEOUT OF CREDIT. Section 48(a) is amended by striking paragraphs (6) and (7) and inserting the following new paragraph:
‘‘(6) PHASEOUT FOR CERTAIN ENERGY PROPERTY. In the case of any qualified fuel cell property, qualified small wind property, or energy property described in clause (i) or clause (ii) of paragraph (3)(A) the construction of which begins after December 31, 2019, and which is placed in service before January 1, 2022, the energy percentage determined under paragraph (2) shall be equal to 26 percent.’’
Page 366
Page 604
GRANTS.
(a) APPROPRIATION. In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000,000, to remain available through September 30, 2031, to provide grants for domestic production of efficient hybrid, plug-in electric hybrid, plug-in electric drive, and hydrogen fuel cell electric vehicles, in accordance with section 712 of the Energy Policy Act of 2005 (42 U.S.C. 16062).
All we can do is wait for the future to come and look back to see what the truth was everywhere...???
The finish line is not tomorrow….. adding for the end goal. :)
NKLA
Nikola Corporation flair_name:"Hydrogen Fueling Stations"
https://www.reddit.com/r/NikolaCorporation/search?q=flair_name%3A%22Hydrogen%20Fueling%20Stations%22&restrict_sr=1
IVECO builds innovative H2 filling station in Ulm as part of Hy-FIVE as a holistic model test for green hydrogen
Ulm, 07-04-2022
This Monday (04.07.2022) the kick-off for the project "HY-FIVE - Model Region Green Hydrogen Baden-Württemberg" took place in Schwäbisch-Gmünd: State Secretary Dr. Andre Baumann from the Ministry of the Environment, Climate and Energy symbolically presented the project consortium with a total funding amount of around 32 million euros.
The funding is provided by the European Regional Development Fund (ERDF) and the state of Baden-Württemberg. The aim of the Hy-FIVE project is to test a hydrogen economy in both rural and urban areas. The activities focus on four flagship projects that map the entire value chain from production to use in industry, transport and district solutions.
Cities, municipalities, project partners from business and science implement the concrete model projects. These include the construction of electrolyzers for hydrogen production, filling station infrastructure and distribution systems. With its joint venture, Nikola Iveco Europe GmbH, IVECO is responsible for the construction of an innovative hydrogen filling station and will at the same time test the necessary infrastructure. Initially, the facility is mainly intended for own use, i.e. for the refueling of the test fleet as well as the first filling of the Nikola Tre FCEV manufactured in Ulm. However, the filling station is successively transferred to public operation. Due to the predicted quantities and market requirements, the filling station is designed as a high-performance plant and can refuel gaseous hydrogen with 700 bar in an amount of about 80 kilograms in 15 to 20 minutes. The quantity is sufficient for a Nikola Tre for more than 800 kilometers. The project is moving on new technological territory and also benefits from the proximity of science based in Ulm (TH Ulm, ZSW). The commissioning of the H2 filling station is for the 1st Quarter 2024.
https://www.reddit.com/r/NikolaCorporation/comments/vr77mg/iveco_builds_h2_stations_in_ulm_04072022/
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=169320560
Iveco builds filling station for green hydrogen in Ulm
written by: Patrick Schäfer
07/19/2022
https://www.springerprofessional.de/wasserstoff/nutzfahrzeuge/iveco-errichtet-in-ulm-tankstelle-fuer-gruenen-wasserstoff/23276984#.YtgtJrjXqpk.mailto
The commercial vehicle manufacturer Iveco has built a hydrogen filling station in Ulm as part of the Hy-Five project. It will initially be used and tested by the Nikola Iveco Europe joint venture.
As part of the project "Hy-Five - Model Region Green Hydrogen Baden-Württemberg", Iveco is building a filling station for green hydrogen in Ulm. The high-performance plant can refuel gaseous hydrogen at 700 bar in an amount of about 80 kg in 15 to 20 minutes. Iveco is responsible for the construction with its joint venture "Nikola Iveco Europe" and will test the necessary infrastructure. The filling station is scheduled to go into operation at the beginning of 2024. It will initially be used for the refuelling of the test fleet and the initial filling of the Nikola Tre FCEV manufactured in Ulm, but will then be gradually transferred to public operation.
The aim of the Hy-Five project is to test a hydrogen economy in both rural and urban areas. Four lighthouse projects are intended to map the entire value chain from the production to the use of hydrogen in industry, transport and district solutions: This ranges from the production of hydrogen by hydropower to the development of a system for local and cross-grid storage and transport as well as its use in fuel cell trucks. The project consortium, which also includes several universities and the ZSW Centre for Solar Energy and Hydrogen Research, will be funded until 2027 by the European Regional Development Fund (ERDF) and the state of Baden-Württemberg.
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Nikola and VectoIQ Acquisition Corp. Announce Closing of Business Combination
Published June 03, 2020
https://nikolamotor.com/press_releases/nikola-and-vectoiq-acquisition-corp-announce-closing-of-business-combination-77
Steve Girsky
Girsky was GM Vice Chairman from March 2010 through January 2014. During that time he was responsible for several functional areas, including:
Global corporate strategy,
New business development,
Global product planning and program management,
Global connected customer/OnStar, and
GM Ventures LLC and global research & development.
Girsky also served as Chairman of the Adam Opel AG Supervisory Board and as interim President of GM Europe during this time frame, a critical period in
which the company established its current 'Drive Opel 2022' strategy. Girsky also held responsibility for GM's Global Purchasing and Supply Chain function
from 2011 to 2013, and served as Senior Advisor to General Motors from January 2014 to July 2014.
https://investor.gm.com/news-releases/news-release-details/gm-announces-stephen-girsky-retire-board-directors
https://www.freightwaves.com/news/shell-stuffing-how-nikola-became-vectoiqs-public-preference
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=165678224
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=165764942
Nikola and TC Energy Sign Joint Development Agreement
for Co-Development of Large-Scale Clean Hydrogen Hubs
October 7, 2021
Nikola and TC Energy sign joint development agreement for co-development of large-scale clean hydrogen hubs. Nikola Corporation (Nasdaq: NKLA), (Nikola),
a global leader in zero-emissions transportation and energy infrastructure solutions, and TC Energy Corporation (TSX,NYSE: TRP), (TC Energy), a leading
North American energy infrastructure company, have agreed to collaborate on co-developing, constructing, operating and owning large-scale hydrogen
production facilities (hubs) in the United States and Canada.
https://hydrogen-central.com/nikola-tc-energy-agreement-hydrogen-hubs/
#NationalHydrogenDay celebrations continue with a sneak peek of all things happeningat our Coolidge
manufacturing facility, including our Nikola Tre #FCEV, for our next episode of the #DrivingChange series!
1:57 PM · Oct 8, 2021
https://twitter.com/i/status/1446565427493044225
Hydrogen Heavy Duty Vehicle Industry Group Partners to Standardize Hydrogen Refueling,
Bringing Hydrogen Closer to Wide Scale Adoption
Published October 08, 2021
https://nikolamotor.com/press_releases/hydrogen-heavy-duty-vehicle-industry-group-partners-
to-standardize-hydrogen-refueling-bringing-hydrogen-closer-to-wide-scale-adoption-137
Gettin' it done. Season 2 of #DrivingChange starts with the continued journey
of the #NikolaTre FCEV alpha builds in Coolidge, Arizona.
November 3, 2021
https://www.facebook.com/nikolamotorcompany/videos/driving-change-season-2-episode-1-
get-it-done/1259891077770836/?__so__=permalink&__rv__=related_videos
https://www.youtube.com/watch?v=RokrKePeRrk
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