A court hearing on the sale of bankrupt electric truck startup Nikola’s assets to Lucid Motors was going smoothly on Friday. No objections had been filed to the transaction, and Delaware bankruptcy Judge Thomas Horan verbally approved it without hesitation.Until, that is, a lawyer piped up on the Zoom call towards the end of the hearing. The lawyer said his client “has some concerns” about the way the auction process was run. Those could be addressed at a later date, he said, but he stressed he didn’t want ...

Core Points - Trevor Milton, the founder of Nikola, is attempting to acquire the assets of his former company, which is currently in Chapter 11 bankruptcy [1][2] - Nikola filed for bankruptcy protection in February and aims to sell its business by mid-April [2] - Milton's bid has faced resistance, including restrictions on inspecting assets at the company's factory [2][6] Group 1: Company Background - Nikola was founded by Trevor Milton in 2014 and went public in 2020 through a special purpose acquisition merger [3] - Milton stepped down from his position following fraud allegations and was convicted in 2022, receiving a four-year prison sentence in 2023 before being pardoned [3] Group 2: Bankruptcy Proceedings - Nikola has faced significant operational challenges, including battery fires and recalls, leading to its bankruptcy filing [4] - A Nevada entity, ISSO LLC, submitted a bid for Nikola's assets, but faced restrictions during the inspection process [4][5] - The court is set to hold an auction on April 7 to determine the highest bid for Nikola's assets [7]

In this articleNKLATrevor Milton, founder of Nikola Corp., arrives at court in New York, on Monday, Sept. 12, 2022.Victor J. Blue | Bloomberg | Getty ImagesNikola Corp. founder Trevor Milton said Thursday that he had been granted a full pardon by President Donald Trump for his October 2022 conviction of federal crimes related to defrauding investors with false claims about the success of the electric and hydrogen-powered truck maker.Milton, 42, was sentenced in December 2023 to four years in prison, but he ...

Electric trucking startup Nikola is hoping to sell what remains of its whole business as early as April, lawyers for the company told a judge Thursday during the first hearing of its bankruptcy case in Delaware.The lawyers claimed Nikola already has at least three interested buyers (who they did not name) and that the company hopes to solicit other bids, with a submission deadline likely in late March. If Nikola can’t find a buyer willing to take on the whole business, the company will pivot to selling off ...

Key TakeawaysElectric vehicle startup Nikola on Wednesday filed for Chapter 11 bankruptcy.The company plans to hold an auction of its assets, pending court approval.Nikola once reached a higher market capitalization than Ford Motor before it had sold a single truck, but its vehicles would later be mass-recalled and its founder convicted of fraud. Electric vehicle startup Nikola (NKLA) filed for Chapter 11 bankruptcy and plans to move forward with an auction of its assets, pending court approval, the company ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Scandal-scarred electric semi-truck maker Nikola — a pandemic darling once valued at $30 billion — filed for bankruptcy on Wednesday.The company said it is seeking an auction and sale process of its assets, becoming the latest electric-vehicle maker to stumble after grappling with tepid demand, rapid cash burn and funding challenges.“Like other companies in the electric vehicle industry, we have faced various market and macroeconomic factors that have impacted our ability to operate,” chief executive Steve ...

After years of decline, the heavy-duty electric vehicle (EV) maker Nikola (NASDAQ: NKLA) found itself on a major rollercoaster ride in mid-February 2025.First, on Tuesday, February 18, NKLA stock rallied more than 40% within a single session as it became known that one of Japan’s biggest brokerage firms – Nomura Holdings (TYO: 8604) – raised its stake in the company during the fourth quarter (Q4) to 9.3%.The rally, however, was not to last and Nikola shares plunged 46.94% in the final hours of the Wednesday ...

Hydrogen electric trucking startup Nikola Corp. filed for Chapter 11 bankruptcy protection Wednesday after it failed to find a buyer or secure additional funds to maintain operations. Nikola was once a Silicon Valley darling, valued at $30 billion in June 2020 after it went public through a special purpose acquisition merger. But a series of scandals surrounding its founder and former CEO Trevor Milton put the company into free fall.  Now, Nikola plans to go to auction with its assets, pending court approv ...

Electric-truck maker Nikola Corp. filed for Chapter 11 bankruptcy protection on Wednesday after the company failed to overcome market and macroeconomic challenges.  "Like other companies in the electric vehicle industry, we have faced various market and macroeconomic factors that have impacted our ability to operate," CEO Steve Girsky said in a statement.Girsky said the company has taken "numerous actions" to raise capital, reduce liabilities, clean up its balance sheet and preserve cash to sustain operatio ...