Nikola crash bookends capital market morality tale

Nikola

19/02/2025 18:11

(The author is a Reuters Breakingviews columnist.  The opinions
expressed are his own.)
    By Jonathan  Guilford
       NEW YORK, Feb 19 (Reuters Breakingviews) - The
electric-truck maker once worth $26 bln has joined a clutch of
rivals in bankruptcy. The battery powered vehicle startups
combined hard-to-gauge promise with big-up-front costs, yet
nevertheless became SPAC darlings. The slower route to an IPO
might serve a purpose after all.

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    CONTEXT NEWS
    Nikola announced on February 19 that it had filed for
Chapter 11 bankruptcy protection and intends to pursue a sale
process for its assets.
    The maker of electric and fuel cell-powered trucks went
public in 2020 through a merger with a special-purpose
acquisition company.

 (Editing by Peter Thal Larsen and Streisand Neto)
 ((For previous columns by the author, Reuters customers can
click on  GUILFORD/  
Jonathan.Guilford@thomsonreuters.com))