Nikola Corp (fka NKLAQ)

[Donotunderstand]

From where I sit - and my experience

NKLA may now find a buyer for the entire company. That may be the case as the 11 declaration shows buyers that the debt side of the balance sheet is up for grabs. As to current common stock - IMO - it is worthless as any buyer will not leave those shares as legitimate owners of any part of NKLA 2

As the operations - as NKLA 2 - require say 500MM or 700MM to fill deficits over the coming months - until NKLA 2 is cash breakeven - the selling price might be close to zero.

How can this happen? Those holding debt must be offered by someone or something ownership in a viable new NKLA 2. The Debtholders then have to decide they prefer this offer. Their alternative - as debt holds the cards is they get their pro rata tiered share of cash from selling parts. So for example assume selling parts could get get most debt holders 25 cents on the dollar (fast look). A new NKLA 2 offer by a buyer to debt holders would have to have of a promise from a buyer of enough cash investment into AZ going forward to get it profitable

Again - as example - one offer may be 25 cents on the dollar and the other offer is equity in a company that has a fair/good chance of making money - down the road with a BIG IF. The majority (??) of the Debt Holders will make that decision