Nikola Stock Extends Exchange Offer to Acquire Romeo Power

Nikola stock NASDAQ:NKLA

Nikola stock was at $3.8650 as of 12:01 PM EDT.

Nikola (NASDAQ:NKLA) has extended its exchange offer to purchase all outstanding Romeo Power (NYSE:RMO) common stock until Oct 12, 2022, from Sep 26. Romeo (NYSE:RMO) stockholders will receive 0.1186 shares of Nikola (NASDAQ:NKLA) common stock for each Romeo share, representing 4.5% pro forma ownership of Nikola.

Investment Seeking By Nikola; Romeo Buyout Proceeding

Nikola Vehicles Recalled

Phoenix-based Nikola is recalling all its vehicles due to a problem with their seat belts. Nikola Corp. (NASDAQ:NKLA) has made 93 battery-electric trucks, and all of them need seat belt fixes, according to a Sept. 14 report with the NHTSA. The news was first reported by last week.

In its report to the NHTSA, Nikola said the seat belt shoulder anchorage assembly on certain 2022 Tre BEV trucks could be improperly installed and weakened. “The assembly as designed and installed could detach when loaded”

Nikola said in a statement that the Tre BEV truck’s seat belt mount was not properly secured once, with no crashes or injuries. Nikola is repairing the seat belt mount on 93 model year 2022 Tre BEV trucks, including sold and pre-series models. This seat belt recall affects only U.S. models, not EU trucks.

Nikola Stock Forecast

By midnight on Sep 26, 70 million Romeo (NYSE:RMO) shares had been validly tendered, received, and not validly withdrawn, representing 37.65% of outstanding Romeo common stock. For the offer to be completed, 50.1% of outstanding Romeo common stock must be validly tendered.

The new deadline to tender shares is midnight Oct 12, 2022. Nikola stock (NASDAQ:NKLA) and Romeo Power (NYSE:RMO) were up over 4% at 9.45 AM ET.

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