- Italian vehicle manufacturer Iveco Group NV. will accept full ownership of the joint venture with Nikola Corp NKLA in Ulm, Germany.
- In addition, the Iveco Group will receive a license for free access and further development of vehicle control software for the jointly developed BEV and FCEV.
- Nikola obtains the IVECO S-Way technology license for North America and related component supply from Iveco Group.
- Also, Nikola will co-own the intellectual property of Generation 1 eAxles, a technology co-developed with Iveco’s powertrain brand, FPT Industrial.
- Iveco will use its available cash to fund capital expenditures related to this new phase of the collaboration and will purchase the above items in part in cash (US$35 million) and in part in Nikola stock (20 million shares). Iveco Group forecasts to absorb this through cash flow generation, and it will also retain a significant amount of Nikola stock.
- Also read: Nikola cooperates with Voltera to finance hydrogen stations
- The joint venture, founded in 2019, offered battery electric vehicles (BEV) and fuel cell electric vehicles (FCEV) for regional and long-distance transport.
- Iveco Group will focus on Europe in the further development and commercialization of its own battery electric and fuel cell electric trucks, and Nikola will focus its operations on North America.
- price action: NKLA shares are trading up 5.59% at $1.04 on the latest check Tuesday premarket.
- Photo via company
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