Electrical truck maker Nikola remains to be wanting profitable shareholder approval to difficulty new inventory and has as soon as once more adjourned its annual assembly to attempt to win extra assist, the corporate stated on Thursday.
Nikola had adjourned its June 6 annual assembly till Thursday to attempt to drum up extra assist for the proposal. Present legislation in Delaware, the place Nikola is integrated, requires approval from house owners of no less than 50% of the corporate’s excellent shares to cross a share improve proposal.
Nonetheless, that legislation might change on Aug. 1. Beneath amendments authorised by Delaware’s state legislature and now awaiting signature by the state’s governor, an organization integrated within the state will want solely a easy majority of shares voted to approve a rise in licensed shares.
Nikola’s assembly is now adjourned once more till 4 p.m. ET on Aug. 3, when the brand new rule could also be in impact. Nikola stated that proposal would have handed on Thursday had the brand new rule been in place.
Nikola is asking its shareholders for approval to double its complete shares licensed, to 1.6 billion from 800 million, to offer it flexibility to lift money by issuing new shares as wanted.
The corporate is predicted to launch the long-awaited hydrogen gasoline cell model of its Tre electrical semitruck later this month. As of Could 9, it had 140 orders in hand for the brand new truck. Nikola is hoping to lift more money to assist fund the brand new truck’s manufacturing ramp and to construct out its hydrogen refueling community within the U.S. and Canada.
Nikola will report its second-quarter outcomes earlier than the U.S. markets open on Aug. 4.