Current events in the EV world?
A spark of controversy?
A battery of regulators looking into charges?
Potentially electrifying news…
Lordstown will make vehicles by September. Analysts says its years away??? So who is right?
My takeaway is that they lied in their documentation to get better prices in the IPO. If I was an investor interested in the IPO, I’d want accurate information. The SEC helps make that possible by busting companies that aren’t straight with investors.
All suppliers are lined up for sept production?
The NY Times tells a tale of a Wall Street guy, David Hamamoto, with a quarter-billion of investor money in a SPAC, who had to merge with something or give the money back.
'The clock was ticking for David Hamamoto.'
'It was June 2020, and Mr. Hamamoto, a former Goldman Sachs executive who invested in real estate, was searching for a business to take public through a merger with his shell company. He had raised $250 million from big Wall Street investors including BlackRock, and spent more than a year looking at over 100 potential targets. If he couldn’t close a deal soon, he would have to return the money.
'Then, around nine months before his deadline, bankers from Goldman gave Mr. Hamamoto an enticing pitch: Lordstown Motors, the fledgling electric truck maker that President Donald J. Trump had hailed as a savior of jobs. What followed was a swift merger, then a debacle that put two of the biggest forces shaping the financial world on a collision course.
‘Lordstown went public in October via a merger with Mr. Hamamoto’s special purpose acquisition company, DiamondPeak Holdings. A Wall Street innovation, SPACs are all the rage, having raised more than $190 billion from investors since the start of 2020, according to SPACInsider.’
'Small investors began piling into Lordstown shares after the merger closed, attracted to the hype around electric vehicles. That's exactly when BlackRock and other early Wall Street investors - as well as top company executives, who all got their shares cheaply before the merger - began to sell some of their holdings.'