Nikola Approaches $10 a Share, Erasing Startup’s Post-IPO Gains

April 15, 2021, 2:20 PM EDT Stock fell as much as 8.3% to $10.78 in New York Thursday Peer Lordstown Motors falls below $10 level SPAC debuted at The stock declined as much as 8.3% to $10.78 in New York trading Thursday amid a broader slump in EV stocks. That’s the lowest in a year and approaching the $10 level at which VectoIQ Acquisition Corp., the special-purpose acquisition company that acquired Nikola, debuted in June 2018. Many private investors in Nikola -- including Fidelity, P. Schoenfeld Asset Management LP and ValueAct -- bought into the company at the $10-a-share price before it went public in a so-called private investment in public equity, or PIPE. That means those investors, if they still hold their original shares, aren’t far from falling into the red. It marks a significant comedown for the once-high-flying stock, which climbed above $90 a share in June and temporarily vaulted Nikola’s market capitalization above that of 117-year-old rival Ford Motor Co. Nikola representatives didn’t immediately respond to a request for comment. Nikola has been plagued by a string of negative headlines this year. In March, its strategic partner Hanwha Group signaled an intention to liquidate half of its holdings, and in February, Nikola lowered the projected output of its first commercial zero-emission vehicles and said it might seek to raise more capital. This followed an internal probe that found it made several inaccurate statements.