NONSENSE: GM conducted ‘appropriate diligence’ on $2 billion Nikola deal, CEO Mary Barra says

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Reminds me of Walgreens doing their due diligence with Theranos… eventually there will be a book called “Bad Battery” detailing the entire incident by an insider. Can’t wait.

DOW3000

Did her due diligence on Wall Street Bets

BernardoDeGalvez

Nikola is giving them free equity and basically the right to sell their EV parts under their hyped up brand. What DD do they need to do? Nikola is handing themselves over to GM in order to have any resemblence of a product because all they have is CGI and a truck that rolls down a hill.

cywinr

They watched the truck roll down the hill and got a bad case of FOMO.. full extent of their DD

Mambodixon

What DD was there to do? NKLA offered GM the 2bil not the other way around (which is kinda what the title implies). The only DD they needed was to see what was actually required of them for taking Nikola’s money, why would they actually care if it’s a shit company. If they are giving you billions to make some stuff for them and you have the capacity to do it… why the hell not do it? I’m sure GM has plenty of terms in their deal to safe-guard against shenanigans, it’s not like they don’t have legal firms just for writing up these kinds of contracts. I don’t see what GM is risking or where the down-side is for them. Seems like a no-lose situation. NKLA comes across as the dumbass in this deal and IMO it’s because they were desperate to produce something and saw no other way to do it but to hand over 11% of the company to someone that had the means to do that.

Bouric87