Why Nikola (NKLA) Shares Are Down 45% Over The Past Month
Portfolio Pulse from Henry Khederian
Nikola Corp's shares have fallen by 45% over the past month, with a 5.3% drop to $1.24 on Monday. The decline follows the company's announcement of a registered direct offering involving senior convertible notes worth up to $325 million, with anticipated net proceeds of $124.5 million. The company also revealed that the holders of these shares could resell them, but Nikola will not profit from these sales. The company's shares have also been affected by a voluntary recall of over 200 vehicles following a nearby fire, leading to a temporary halt on new BEV sales.
August 28, 2023 | 2:54 pm
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Nikola Corp's shares have been negatively impacted by the announcement of a convertible notes offering and a vehicle recall, leading to a 45% drop over the past month.
The announcement of a convertible notes offering and a vehicle recall have negatively impacted investor sentiment towards Nikola Corp, leading to a significant drop in the company's share price. The potential for share dilution from the notes offering and the financial impact of the vehicle recall are likely contributing factors to the share price decline.
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IMPORTANCE 90
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