Nikola Corporation (NKLA)

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Nel Gets $20 Million from Nikola, Fortescue Deals
Published: Feb. 2, 2024


By Dominic Chopping

Nel will receive around $20 million after a previous deal with Nikola was reworked and at the same time the Norwegian hydrogen company signed a supply deal with Fortescue.

Nel previously entered a supply agreement with electric-vehicle maker Nikola, but the companies have agreed to cancel that deal and instead sign a new agreement for different equipment, with Nel receiving around $9 million.

In addition, Nel will receive around $11 million from Fortescue. The Australian mining group has acquired Nikola's Phoenix Hydrogen Hub and the deal includes the installation of electrolyser equipment previously delivered by Nel to Nikola.

The payment will cover updated guarantees and warranties for the equipment and changes in the scope of delivery.

Nel shares trade 7.3% higher at NOK5.64.
https://www.marketwatch.com/story/nel-gets-20-million-from-nikola-fortescue-deals-9f5069cc