Nikola’s stock crashes after announcing cancelation of contract with Republic Services for 2,500 garbage trucks – TechCrunch

Destruction Nicola continues. Today, the company announced the termination of its contract with Republic Services for 2,500 garbage trucks. Announced back in augustThe deal was the construction of a garbage truck in Nicola in 2023 with an on-road test scheduled for 2024. This is the latest deal for Nikola as it tries to patch up after disastrous reports.

According to Nicola, the separation of the two companies was mutual, although it is difficult that Nikola’s SEC troubles did not outweigh the republican services.

Nicola CEO Mark Russell said in a statement issued, “It was the right decision for both companies to give the necessary resources and investment.” “We support and honor Republic Services’ commitment to achieving environmentally responsible, sustainable solutions for our customers. Nicola is laser-focused to deliver on our battery-electric and fuel-cell electric commercial truck programs and energy infrastructure to support them. “

The news of the deal is sending Nikola’s stock down 10% in pre-market trading. If this level is at the open of the stock market, Nicola will trade at its lowest level after the monumental growth in the summer months.

The deal with Republic Services was originally a victory banner for a one-time flying electric vehicle startup. Indicated as the company’s mainstream acceptance, Republic Services’ contract came ahead of a mega $ 2 billion investment from General Motors. That deal is also canceled Following several important revelations about the company leading to an SEC investigation and the company’s president leaving.

In a statement, Nicola says deliveries will begin in 2021 with Nicola tray battery-electric semi-trucks in the US and the company hopes to break ground on its first commercial hydrogen station in 2021 as well. And then in 2023, the company hoped to produce its fuel-cell-electric semi-trucks at Coolidge, Nicola, Arizona Facility.