The Nikola (NKLA) soap opera continues.
“Like sands through the hourglass, so are the days of our lives.”
When we last left off, Nikola had just been bashed by two short-sellers.
Hindenburg Research accused the EV company of being “an intricate fraud,” which has allegedly been built on lies by its Founder and Chairman Trevor Milton.
“We have gathered extensive evidence-including recorded phone calls, text messages, private emails and behind-the-scenes photographs-detailing dozens of false statements by Nikola Founder Trevor Milton,” said the report, as quoted by MarketWatch.
Then, Citron Research piled on.
“Congrats to Hindenburg for exposing what appears to be a total fraud with $NKLA. Citron will cover half of all legal expenses. You can’t SLAPP the truth away. Explains why Milton sold at $10 this June $NKLA response warrants an SEC investigation to maintain integrity of EV mkt.”
But Nikola shouldn’t be counted out just yet.
This morning, shares are rebounding after providing a detailed rebuttal to Hindenburg, calling their report “false and misleading.” Nikola has also contacted its own attorneys and the US SEC on allegations the Hindenburg report was designed to manipulate the stock.
According to Nikola, as noted by MarketWatch, “Hindenburg made dozens of inaccurate allegations, including a misrepresentation of Nikola’s position on battery technology, attempts to falsely link the termination of a former CFO with the announcement that it would refund Nikola One reservation deposits, allegations that the 2016 Nikola One was not a real truck, that it mischaracterized a quote by a Bosch employee and that the company buys and does not make inverters in-house.”