Connect with us

Auto

Nikola shares surge after GM executive gives hope of keeping partnership deal alive

Published

on

Shares of embattled electric vehicle start-up Nikola jumped by almost 12% during premarket trading Wednesday after a General Motors executive said the automaker still sees a tie-up with the company being a great opportunity.

GM President Mark Reuss said the automaker continues “to work the opportunity” of its $2 billion deal with Nikola that was announced last month but hasn’t yet been finalized.

“The opportunity to put our fuel cells into a class 7 and 8 vehicle is spectacular,” he said during CNBC’s “Squawk Box.” “We know there’s great operational cost advantages there, there’s great efficiencies and there’s great opportunities.”

The comments were some of the first from a GM executive about the deal after the two sides postponed the expected close of the deal last month.

Shares of GM rose by more than 2% during premarket trading. After the markets opened, Nikola’s shares traded up by about 6% while GM’s rose by about 1%.

The Sept. 8 deal was initially viewed as a no-lose situation for GM. The partnership would give the Detroit automaker an 11% stake in the company for supplying Nikola battery and fuel cell technologies as well as producing Nikola’s Badger pickup.

It was expected to close before Sept. 30 but the talks became convoluted following fraud allegations against the company and its founder Trevor Milton, who resigned as the company’s executive chairman on Sept. 21. Since then, two women also have now filed sexual assault claims with Utah authorities against Milton. The controversy has cut the company’s shares in half.

The deal may be terminated by either side if it’s not closed by Dec. 3, according to a public filing by Nikola when the partnership was announced.


Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Auto

India can beat China in low-cost manufacturing: Maruti Suzuki chairman

Published

on

By

NEW DELHI: India has the potential to surpass even China in low-cost manufacturing if the government and industry work in a cohesive manner, Maruti Suzuki India (MSI) Chairman RC Bhargava said on Thursday.
Bhargava also said the government should focus on increasing the competitiveness of the Indian industry.
“India has the capability to become a lower cost country than China if the industry and the government work together,” Bhargava said.
He was sharing his views on making Indian manufacturing globally competitive at an online event organized by the All India Management Association (AIMA).
Bhargava said the only objective of government policies should be to increase the competitiveness of Indian industry so that it can make things at the lowest cost along with the best quality in the world.
“The more the industry can sell, the more jobs will be created in the economy,” he noted.
Bhargava pointed out that creating jobs across sectors was important for the overall growth of the economy.
He, however, criticized states which have reserved jobs in manufacturing for locals.
“It is an anti-competitive step,” Bhargava said.
He also said MSMEs have to be as globally competitive as the large companies because the entire supply chain determines the overall competitiveness.
Bhargava also noted that the industry cannot be competitive unless the promoters and managers treated workers as partners.
He pointed out that MSI owed its success to explaining to its workers that they will prosper if the company grew and backing that with policies and actions that delivered income and career growth to employees.


Source link

Continue Reading

Auto

Transport Ministry begins exercise to formalise registration of vintage motor vehicles in India

Published

on

By

New Delhi: The transport ministry has issued a notification to formalise the registration process for vintage vehicles in the country, in a bid to preserve the heritage of old motor vehicles in India.

The ministry has proposed a fee of Rs 20,000 for a new registration and Rs 5,000 as fee for subsequent re-registration.

All applications for registering such vehicles will be applied on the “PARIVAHAN” portal of the ministry of road transport and highways. This registration shall be valid for 10 years.

The Ministry has published GSR 734 (E) on Wednesday seeking comments and suggestions in regards to amending Central Motor Vehicle Rules 1989, relating to Vintage Motor Vehicles.

“There are no existing rules for regulating the registration process of vehicles of heritage value. Through this notification the Ministry intends to formalize the registration process of the Vintage Motor Vehicles,” said a government official.

The government has defined Vintage vehicles as those two-wheelers and four-wheelers (non-commercial/personal use) which are more than 50 years old from the date of their first registration (including imported vehicle).

The definition, however, restricts any substantial overhaul of the vehicle which includes modification in chassis or body shell, and or engine.

All States registering authority will appoint a nodal officer who will process all applications for registration of vintage motor vehicles, as per the proposed rules.

Further, States will have to form a committee which will inspect a vehicle and declare whether the vehicle is fit to be registered as vintage.

The ministry has proposed to restrict the use of vintage vehicles on Indian roads.

“A Vintage Motor vehicle is allowed to run on Indian roads only for display, technical research or taking part in a vintage car rally, refueling and maintenance, exhibitions, vintage rallies, to and fro to such exhibition or car rally,” the official said, sharing details of the proposal.


Source link

Continue Reading

Auto

India can beat China in low-cost manufacturing if industry, govt work together: RC Bhargava

Published

on

By

NEW DELHI: India has the potential to surpass even China in low-cost manufacturing if the government and industry work in a cohesive manner, Maruti Suzuki India (MSI) Chairman RC Bhargava said on Thursday. Bhargava also said the government should focus on increasing the competitiveness of the Indian industry.

“India has the capability to become a lower cost country than China if the industry and the government work together,” Bhargava said.

He was sharing his views on making Indian manufacturing globally competitive at an online event organised by the All India Management Association (AIMA).

Bhargava said the only objective of government policies should be to increase the competitiveness of Indian industry so that it can make things at the lowest cost along with the best quality in the world.

“The more the industry can sell, the more jobs will be created in the economy,” he noted.

Bhargava pointed out that creating jobs across sectors was important for the overall growth of the economy.

He, however, criticised states which have reserved jobs in manufacturing for locals.

“It is an anti-competitive step,” Bhargava said.

He also said MSMEs have to be as globally competitive as the large companies because the entire supply chain determines the overall competitiveness.

Bhargava also noted that the industry cannot be competitive unless the promoters and managers treated workers as partners.

He pointed out that MSI owed its success to explaining to its workers that they will prosper if the company grew and backing that with policies and actions that delivered income and career growth to employees.


Source link

Continue Reading

Breaking News

Shares