Hanwha sells part of stake in electric truck maker Nikola
Published: 01 Jul. 2021, 18:54
Hanwha Group said Thursday it has sold part of its stake in U.S. electric truck maker Nikola for $53.7 million.
Green Nikola Holdings, Hanwha's U.S. subsidiary, sold 2.9 million Nikola shares, which lowered its ownership from 5.6 percent to 4.86 percent, according to a U.S. Securities and Exchange Commission filing.
The divestment is part of Green Nikola's plan to sell up to half of its stake in Nikola from June 6 to Dec. 10, Hanwha said.
"Separate from the stake sale, Hanwha will continue to collaborate with Nikola to establish the eco-friendly mobility eco-system and develop the hydrogen industry value chain ranging from production, storage and transportation," Hanwha said in a statement.
Hanwha Group's business portfolio ranges from solar energy to aerospace, and it has been exploring ways to expand its renewable energy business.
Nikola has drawn keen interest from investors as a promising firm developing hydrogen-powered trucks, but allegations of fraud spurred by a short-seller report have regulators looking into the electric truck startup.
Nikola's shares, which were at $33.75 after its June 2020 market debut on Nasdaq, surged to a record high of $93.99 in just four days, but its share price dipped to $17.99 after the short-seller Hindenburg Research's fraud accusation in September.
Yonhap
Green Nikola Holdings, Hanwha's U.S. subsidiary, sold 2.9 million Nikola shares, which lowered its ownership from 5.6 percent to 4.86 percent, according to a U.S. Securities and Exchange Commission filing.
The divestment is part of Green Nikola's plan to sell up to half of its stake in Nikola from June 6 to Dec. 10, Hanwha said.
"Separate from the stake sale, Hanwha will continue to collaborate with Nikola to establish the eco-friendly mobility eco-system and develop the hydrogen industry value chain ranging from production, storage and transportation," Hanwha said in a statement.
Hanwha Group's business portfolio ranges from solar energy to aerospace, and it has been exploring ways to expand its renewable energy business.
Nikola has drawn keen interest from investors as a promising firm developing hydrogen-powered trucks, but allegations of fraud spurred by a short-seller report have regulators looking into the electric truck startup.
Nikola's shares, which were at $33.75 after its June 2020 market debut on Nasdaq, surged to a record high of $93.99 in just four days, but its share price dipped to $17.99 after the short-seller Hindenburg Research's fraud accusation in September.
Yonhap
with the Korea JoongAng Daily
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