Shares of electric vehicle company, Nikola (NKLA) just turned lower on a short seller report.
Just today, 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.
“We have never seen this level of deception at a public company, especially of this size.”
The MarketWatch report added, “Nikola has misled partners by making false claims about the company’s technology, including its hydrogen fuel cell batteries, which Hindenburg says never existed. The company is now planning to use General Motors Co. battery technology after signing a deal with GM this week, under which it will issue $2 billion of new shares to GM.”
At the moment, shares of NKLA are down nearly 8%, or $3.30 to $39.06.
The post Short Seller Attack: Here’s Why Nikola Stock Just Turned Lower appeared first on Morningology.
