The partnership provides Normal Motors (GM) an 11% stake in the startup, receiving $2 billion in fairness, the businesses mentioned in a information launch. GM can even get the fitting to appoint one director to Nikola’s board.
Nikola shares rose greater than 33% in morning buying and selling Tuesday on the information.
Normal Motors would be the unique provider of gasoline cells to Nikola’s (NKLA) Class 7/eight vehicles in all areas apart from Europe, the businesses mentioned.
GM already has electrical pickups and SUVs nearing manufacturing, together with the GMC Hummer EV and Cadillac Lyriq. The Badger truck will share most of its engineering with these autos.

Nikola had been creating the truck by itself, however the firm determined to depend on GM’s engineering as an alternative after talking with them, Nikola CEO Trevor Milton mentioned.

The Badger can be out there in 2022, whereas GM’s first electrical vehicles are anticipated late subsequent yr.

GM has lengthy been engaged on hydrogen gasoline autos as properly. The hydrogen gasoline cell model of the Badger can even be primarily based on the so-called Hydrotec engineering that GM developed with Honda.

The partnership is the most recent transfer by GM to increase its electrical automobile alliances. Final week, GM announced that it was teaming up with Honda to to develop a variety of electrical and petroleum-powered autos.

“This strategic partnership with Nikola … continues the broader deployment of Normal Motors’ all-new Ultium battery and Hydrotec gasoline cell programs,” mentioned Normal Motors CEO Mary Barra. “We’re rising our presence in a number of high-volume EV segments whereas constructing scale to decrease battery and gasoline cell prices and enhance profitability.”

CNN Enterprise’ Peter Valdes-Dapena contributed to this report.

LEAVE A REPLY

Please enter your comment!
Please enter your name here