GM CEO Mary Barra.
Enlarge / GM CEO Mary Barra.

Drew Angerer/Getty Pictures

Nikola inventory rose 15 p.c on Wednesday after confused buyers apparently mistook a month-old GM web site for a brand-new announcement concerning the firms’ pending settlement. The inventory is up one other 7 p.c as I write this on Thursday morning.

Shortly earlier than 10am ET on Wednesday, individuals started sharing hyperlinks to this GM page on social media.

“We signed an agreement with Nikola to engineer and manufacture the Nikola Badger,” the GM web page stated. Nikola’s inventory worth soared from $22.23 at 9:30am to $24.94 at 10am—a 12-percent leap in half-hour.

On Reddit, commenters identified that the web page stated “the transaction has not but closed.” However individuals shrugged that off, arguing that GM would not have posted concerning the deal if closing wasn’t imminent. One commenter took the inventory worth leap as additional affirmation of the information.

However they have been mistaken. It wasn’t a brand new GM announcement. The web page has been on GM’s web site since at the very least October 5. An archive of the page from that date contains precisely the identical language about Nikola—albeit with out the disclaimer concerning the deal not being closed but.

GM has confirmed to Barrons and different information shops that talks with Nikola are ongoing.

GM CEO Mary Barra is scheduled to take part in a Barclays automotive convention this afternoon. Nikola followers and buyers are hoping the occasion will characteristic an announcement about Nikola. However there does not appear to be any purpose to suppose it is going to.

It is also not clear that Nikola would profit from closing the cope with GM. That deal requires Nikola to pay GM a whole lot of tens of millions of {dollars} to design and construct the Badger—cash Nikola might not be capable to spare. Trucking is a capital-intensive enterprise, and Nikola may have each greenback it has to get its flagship heavy vans to market. Final month, Nikola CEO Mark Russell said that the Badger was an “attention-grabbing and thrilling challenge” however that Nikola was “centered on heavy vans and hydrogen infrastructure.”

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