Nikola Files For Offering Of Up To $100M Shares Of Common Stock
Portfolio Pulse from Benzinga Newsdesk
Nikola Corporation has filed for an offering of up to $100 million shares of common stock. The proceeds from the offering are expected to be used for general corporate purposes, which may include working capital, operating expenses, and capital expenditures. The number of shares to be offered and the price range for the offering have not yet been determined.
December 06, 2023 | 9:28 pm
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Nikola Corporation's filing for an offering of up to $100 million shares may dilute existing shareholders and could lead to a short-term decline in stock price due to the potential increase in supply of shares.
Stock offerings often result in dilution of existing shares, which can negatively affect the stock price in the short term. The market's reaction will depend on investor perception of the company's need for additional capital and the potential for future growth that the capital might enable.
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