Electric truck maker Nikola has promised to approach the US Securities and Exchange Commission (SEC) over “misleading information and salacious accusations” made in a report by short-selling firm Hindenburg Research.
In its report titled “Nikola: How to Parlay An Ocean of Lies Into a Partnership With the Largest Auto OEM in America,” Hindenburg claimed that Nikola founder Trevor Milton made false statements about the company’s tech development in order to lure investors.
Milton refuted the allegations once again on Friday, one day after the accusation pushed Nikola stock down more than 10 percent. The executive said that the firm is considering legal options against the short seller and other parties involved.
Nikola retained outside counsel Kirkland & Ellis LLP and authorized them to reach out directly to the SEC. The allegations are false and deceptive. On advice of counsel however, I won’t comment further now other than saying that we have involved SEC. It is in their hands and i pic.twitter.com/k1Cz3Hymca
“Nikola retained outside counsel Kirkland & Ellis LLP and authorized them to reach out directly to the SEC,” he wrote on Twitter. “Let’s be clear, Nikola approached the SEC, not the other way around. The author wanted emotion and we won’t give it to them.”
You don’t think I am pissed too? I would love nothing more than to go out and tell everyone point by point. I have to wait it out until they clear it to be published.
“I have nothing to hide. Zero,” he went on, adding that he cannot elaborate on the matter and promising to reveal the details on as soon as the SEC gives him the green light.
Nikola stock was down five percent, trading at $32.58 at the time of writing on Friday. It was trading as high as $53.98 earlier this week after a partnership deal with General Motors was announced.
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