Nikola (NKLA) - Get Report shares fell on Wednesday after the company’s CEO failed to reassure investors that the electric truck maker's $2 billion deal with General Motors (GM) - Get Report is still a go.
Speaking with TheStreet's Jim Cramer on his CNBC “Mad Money” show, Nikola CEO Mark Russell said discussions with GM about supplying fuel cell and battery technologies as well as an all-electric pickup are ongoing, though stopped short of confirming the deal that would see GM take an 11% stake in Nikola.
Nikola has been swirling in controversy since September, when Hindenburg Research released a research report calling Nikola an "intricate fraud" and outlining what it said were instances of the company allegedly misrepresenting its technology and its progress toward developing its trucks.
The bombshell report came just two days after Nikola's deal with GM was announced. It also prompted the resignation of founder Trevor Milton, who holds 91.6 million shares that he is free to sell after the lock-up period ends on Dec. 1.
Either side can walk away from the table as of Dec. 3.