Nikola Motor’s wild first week of trading boosted the fortune of founder Trevor Milton and has created another billionaire at the hydrogen truck startup: new CEO Mark Russell
Russell became CEO of Nikola this month, after the reverse merger with VectoIQ, while Milton shifted to the role of executive chairman. Nikola’s founder, who left college in his freshman year, briefly worked for Russell at Worthington, which provided early-stage funding for Nikola. Russell has also been a business mentor to brash 38-year-old entrepreneur Milton.
Nikola has truck orders worth $10 billion from companies led by Anheuser-Busch, which wants 800 of its non-polluting behemoths. The company estimates sales will jump from $150 million in 2021 to $3.2 billion by 2024 as production ramps up. In 2024, Nikola expects to sell or lease 7,000 battery-powered units and 5,000 hydrogen fuel cell trucks, according to an. The company may raise an additional $700 million between late 2021 and early 2022, according to the filing.
Fuel cell technology, which makes electricity in a chemical reaction involving hydrogen and oxygen with only water vapor as a byproduct, has been around since the 1960s, but earlier iterations were far too costly and not durable enough for heavy daily use. That’s changed dramatically in the past decade, with costs for the materials and fuel tanks dropping steadily as the technology matured.
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