|Company name||Nikola Corporation|
|Status||Class Action Complaint Filed|
NEW YORK, September 30, 2020 – Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, announces that a class action lawsuit has been filed in the United States District Court for the District of Arizona on behalf of investors that purchased Nikola Corporation (NASDAQ: NKLA) securities between March 3, 2020 and September 20, 2020 (the “Class Period”). Investors have until November 16, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
On September10, 2020, Hindenburg Research published a report entitled, “Nikola: How to Parlay An Ocean of Lies Into a Partnership With the Largest Auto OEM in America” (the “Hindenburg Report”). The Hindenburg Report suggested that the firm had gathered extensive evidence on false statements made by Nikola’s founder Trevor Milton, including that Milton misrepresented, the Company’s battery and fuel cell technology and the size of the Company’s order book. Moreover, the Hindenburg Report claimed that Milton used these Misrepresentations to substantially grow the Company and secure partnerships with top auto companies.
On this news, Nikola’s stock price fell $4.80 per share, or 11.3%, to close at $37.57 per share on September 10, 2020.
The complaint, filed on September 16, 2020, alleges that throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) VectoIQ did not engage in proper due diligence regarding its merger with Nikola; (2) Nikola overstated its “in-house” design, manufacturing, and testing capabilities; (3) Nikola overstated its hydrogen production capabilities; (4) as a result, Nikola overstated its ability to lower the cost of hydrogen fuel; (5) Nikola founder and Executive Chairman, Trevor Milton, tweeted a misleading “test” video of the Company’s Nikola Two truck; (6) the work experience and background of key Nikola employees, including Mr. Milton, had been overstated and obfuscated; (7) Nikola did not have five Tre trucks completed; and (8) as a result, defendants’ public statements were materially false and/or misleading at all relevant times. According to the suit, these true details were disclosed by a market research firm.
If you purchased Nikola Corporation securities during the Class Period and suffered a loss, are a long-term stockholder, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker, Melissa Fortunato, or Marion Passmore by email at email@example.com, or telephone at (212) 355-4648, or by filling out the contact form below. There is no cost or obligation to you.