Energy Transition & Sustainability

Bryan, Garnier & Co acts as Joint Bookrunner on Nikola Corporation’s USD 275m Combined Offering

Founded in 2015 and headquartered in Phoenix Arizona, Nikola Corporation is transforming commercial transportation via two business units, Trucks and Energy (HYLA).

The company develops and commercializes Class 8 vehicles including battery-electric (BEV) and hydrogen fuel cell electric (FCEV).
The energy brand, HYLA, drives the advancement of the complete hydrogen refueling ecosystem, covering supply, distribution and dispensing.

In August 2023, the company announced that it had surpassed 200 sales orders for Nikola hydrogen fuel cell electric vehicles.
The net proceeds will be used for working capital, general corporate purposes, and to finance, refinance, or make direct investments in eligible projects in accordance with the guidelines of the Green Bond Principles, 2021.

Acting as a joint bookrunner, Bryan, Garnier & Co helped deliver a combined offering of USD 100m in equity and
USD 175m in green convertible bonds on Nasdaq.

The transaction consisted of:

  • 133m shares at USD 0.75 per share (i.e. 17.6% discount to last close)
  • USD 175m in Green Convertible Senior Notes due 2026 at 8.25% annual interest rate and 20% premium to the equity offer price

In light of the challenging market environment, the syndicate structured a 2-product transaction allowing the company to tap different pools of capital and included attractive CB terms, incl. a coupon make-whole which incentivises early conversion to equity, to facilitate access for institutional investors as well.

This transaction demonstrates Bryan, Garnier & Co’s unique ability to raise capital for global hydrogen companies, following on the back of other notable H2 transactions including, EUR 20m secondary placement of HRS shares, Lhyfe’s EUR 118m IPO, EUR 50m in multiple follow-ons for Enapter, HDF’s EUR 132m IPO and McPhy’s landmark EUR 180m Recapitalisation Follow-on and NOK 126m Follow-on for HydrogenPro.

"Selling a business you founded and helped growing is a monumental step for any entrepreneur. This was my fourth exit, and I was absolutely thrilled with the level of support and industry expertise we received throughout the process from the team at Bryan Garnier."

— Markus Fest - Founder of Eve Systems

Nikola Corporation’s mission is clear: pioneering solutions for a zero-emissions world. As an integrated truck and energy company, Nikola is transforming commercial transportation, with our Class 8 vehicles, including battery-electric and hydrogen- fuel cell electric trucks, and our energy brand, HYLA, driving the advancement of the complete hydrogen refueling ecosystem, covering supply, distribution and dispensing. Nikola headquarters is based in Phoenix, Arizona with a manufacturing facility in Coolidge, Arizona.