recently announced a blockbuster deal, shaking up both the car and truck industries. The details were supposed to be nailed down by today, but negotiations are ongoing, according to both companies, leaving investors to wonder what comes next.
For the deal to go forward, Nikola (ticker: NKLA) might have to offer GM (GM) more stock.
The deal, announced Sept. 8, gives General Motors an 11% stake in Nikola in exchange for GM supplying parts and providing engineering and manufacturing support. Wall Street said the deal validated Nikola’s business model. It also helped change the perception of GM’s battery and fuel-cell technology platforms. After the deal, Morgan Stanley analyst Adam Jonas wondered in a research report if GM has a “stable of potential unicorns,” referring to the name given to privately held billion-dollar tech start-ups.
But a short seller’s report, published Sept.