Nikola Corporation (NKLA)

[uksausage]

they are in fact REDUCING the number of authorized shares(A/S) not issuing any (O/S)

They probably already are over the 1.6BN if you count all the shares promised in convertibles and in stock options to the board/officers

Hence the need to restructure the shares - a reverse split give them opportunity to reduce the authorized shares

they plan these things our months in advance - like they know they next 12 months cash or easily accessible funding on a rolling basis. I am assuming they cash for this year but may have to sell more shares in an ATM to get cash required for 2025. we will hear more at the earnings call.

R/S will not dilute and that is what they have said so far. it will guarantee Nasdaq listing and give access to cash if needed