Market Overview

Bosch Reduces Nikola Stake To Fall Below SEC's Beneficial Ownership Reporting Requirement Of 5%

Share:
Bosch Reduces Nikola Stake To Fall Below SEC's Beneficial Ownership Reporting Requirement Of 5%

Nikola Corporation’s (NASDAQ: NKLA) fuel cell and battery technology partner Robert Bosch GmBH has diluted its stake in the electric vehicle manufacturer.

What Happened: The German engineering company's wholly-owned Delaware-based subsidiary Nimbus Holdings LLC sold 4.26 million of Nikola shares on Tuesday, it revealed in a filing with the U.S. Securities and Exchange Commission.

After the sale, Nimbus continues to hold 18,820,296 shares in Nikola, but its stake is now just below the key threshold of 5%.

A few days earlier, another partner, General Motors Company (NYSE: GM), stepped away from taking an equity position in the EV company, reducing its collaboration with Nikola to supplying Hydrogen fuel cells.

Nikola on Monday, in another filing with the SEC, disclosed plans for insiders to sell 53.39 million shares, as the post-initial public offering lockup period was set to expire the next day.

Why Does It Matter: Hindenburg Research founder Nathan Anderson, in a tweet, noted the reduction of the stake to 4.9%. With the revised shareholding pattern, Nimbus or Bosch would be no longer required to file the beneficial ownership reports with the SEC.

Nikola and former CEO Trevor Milton have been under the spotlight ever since Hindenburg Research alleged inconsistencies in the EV maker's claims and labeled the automaker a fraud.

Price Action: Nikola shares traded 0.4% higher in the pre-market session Thursday at $18.40.

See Also: Nikola Short Sellers Up $414M Following Reworked GM Deal

 

Related Articles (NKLA)

View Comments and Join the Discussion!

Posted-In: electric vehicles EVs Nimbus HoldingsNews Insider Trades Tech Best of Benzinga