Photo: Nikola
Something particularly strange happened this month in the American auto industry. As the eyes of the world were turned to Lucid and their exciting reveal of the Air, another player in the EV segment, Nikola, was on a rollercoaster.
First, in the early days of September, Nikola announced its partnership with GM is growing stronger. The two companies agreed to work together to build the Badger electric pickup truck, using GM’s tech and facilities. In return, the American behemoth was granted 11 percent ownership of Nikola and right to nominate one director.
Then, a few days later, the Hindenburg Research popped up on the Internet. It’s a very long piece put together by an investment fund, showing how the startup lied its way through half a decade, promising left and right to do things it so far failed to do.
The report is bad, going as far as making fraud allegations, and caused a lot of headaches for the company. But it also cleared the way for GM, indirectly, to get an even firmer hold on the company.
In a statement released this week, Nikola’s main man, Trevor Milton, announced he is stepping down from the role of Executive Chairman, and his position on the board. He is to be replaced by Stephen Girsky, a former vice president at GM and current member of the Nikola board.
Girsky was one of the people who headed GM through the rough waters of bankruptcy a decade ago. He stepped down from his position in 2016.
Milton gives no reason as to why he decided to make way for another executive, but given how the SEC is now looking into the Hindenburg allegations, things couldn’t be clearer.
“We’ve built a deep bench of talent over the years, and I am confident that Nikola’s Chief Executive Officer, Mark Russell, supported by Chief Financial Officer, Kim Brady, and the rest of the leadership team will advance our goal of making Nikola the global leader in zero-emissions transportation,” said Milton in a statement you can read in full in the press release section below.
“I want to thank all of Nikola’s employees, investors and partners who have shared in my vision and rallied behind Nikola during this time.”
Then, a few days later, the Hindenburg Research popped up on the Internet. It’s a very long piece put together by an investment fund, showing how the startup lied its way through half a decade, promising left and right to do things it so far failed to do.
The report is bad, going as far as making fraud allegations, and caused a lot of headaches for the company. But it also cleared the way for GM, indirectly, to get an even firmer hold on the company.
In a statement released this week, Nikola’s main man, Trevor Milton, announced he is stepping down from the role of Executive Chairman, and his position on the board. He is to be replaced by Stephen Girsky, a former vice president at GM and current member of the Nikola board.
Girsky was one of the people who headed GM through the rough waters of bankruptcy a decade ago. He stepped down from his position in 2016.
Milton gives no reason as to why he decided to make way for another executive, but given how the SEC is now looking into the Hindenburg allegations, things couldn’t be clearer.
“We’ve built a deep bench of talent over the years, and I am confident that Nikola’s Chief Executive Officer, Mark Russell, supported by Chief Financial Officer, Kim Brady, and the rest of the leadership team will advance our goal of making Nikola the global leader in zero-emissions transportation,” said Milton in a statement you can read in full in the press release section below.
“I want to thank all of Nikola’s employees, investors and partners who have shared in my vision and rallied behind Nikola during this time.”
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