REACTIONS TO THE REPORT
Right after the report was released Thursday night, investor enthusiasm began to fade away. NKLA shares, which reached $54.56 on Tuesday after the GM deal was announced, fell to $28.75 on Monday morning.
On Friday, Milton published this video on his Instagram, denying Hindenburg's claims and saying the company would issue a formal response to the allegations. Milton continued to deny the report on an Instagram Live story Friday night, where he addressed some of the allegations. He continued to double-down on some of the claims challenged by the report, including his timeline on the construction of a production facility in Coolridge, Arizona.
The company published a formal response to the allegations this morning, saying that Hindenburg's claims were largely false, while denying and clarifying many of the claims made in the report. Nikola has also retained Kirkland & Ellis LLP. Nikola's stock rebounded following the publishing of the response, closing at $35.79 per share on Monday.
On Monday, GM CEO Mary Barra said the automaker did "appropriate diligence" on Nikola.
Learn more about the Hindenburg Report by listening to the bonus episode of the Inside Transportation Podcast here.