Log in
Show password
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 


SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Lordstown Motors new CEO focused on electric truck launch

08/26/2021 | 06:29pm EDT
FILE PHOTO: A Lordstown Motors sign is seen outside the Lordstown Assembly Plant

(Reuters) -Lordstown Motors Corp's new chief executive said on Thursday his focus will be on making sure the electric vehicle maker successfully rolls out its pickup truck in the face of intense regulatory scrutiny. After that, raising further necessary funds will take care of itself.

The Ohio-based startup appointed Daniel Ninivaggi as CEO, handing over the reins to the former employee of investor Carl Icahn, sending shares up as much as 41%, before they later fell back to a 16.5% gain.

"Job No. 1 is to make sure we stay on track from a production standpoint," Ninivaggi told Reuters in a telephone interview. "Without that, you can't raise capital."

While Lordstown is working to launch the Endurance truck, it will work in parallel on raising further funds, he said, adding he had spoken with a lot of people from his past since he was named CEO, but not yet Icahn.

"The financing is going to come when people believe in the product and the production," Ninivaggi said.

"If they believe the story and we prove to them that we hit these milestones, I'll have a lot of friends," he added, referring to potential investors.

The company's founder and largest shareholder, Steve Burns, resigned as CEO in June following an internal investigation into claims made by short-seller Hindenburg Research.

Industry veteran Ninivaggi has also overseen Icahn Enterprises' automotive aftermarket service network and parts distribution businesses.

Ninivaggi, who serves as the chairman for autoparts maker Garrett Motion Inc, has also been a director at companies including Motorola Mobility, Navistar International and Hertz Global Holdings.

Last month, Lordstown said a hedge fund had committed to purchasing up to $400 million of the startup's shares over a three-year period. Executives said that the firm was exploring other financing options, including debt.

Lordstown, which hung an "open for business" sign on its northeastern Ohio plant earlier this month, has struggled with the launch of its Endurance pickup truck.

The company will compete with industry leader Ford Motor Co, which is launching the F-150 Lightning electric pickup next spring. Ninivaggi said demand for electric pickups will outstrip supply for a while, so there will be enough business for both Ford and Lordstown.

Lordstown still faces a lot of scrutiny from federal prosecutors in Manhattan and the U.S. Securities and Exchange Commission related to its merger with a special-purpose acquisition company (SPAC) and statements it previously made about preorders for its vehicles.

Ninivaggi said the probes won't distract from Lordstown's launch efforts and they don't need to be settled prior to the company raising further funding.

(Reporting by Subrat Patnaik and Akanksha Rana in Bengaluru, and Ben Klayman in Detroit; Editing by Rashmi Aich and Steve Orlofsky)

By Ben Klayman and Subrat Patnaik

© Reuters 2021
10/15Utilities Down On Cyclical Bias -- Utilities Roundup
10/15GLOBAL MARKETS LIVE : Macy's, Boeing, RioTinto, Virgin Galactic, Nestlé...
10/15SOUTHWEST GAS : Says Will Review Potential Icahn Tender Offer
10/14ICAHN ENTERPRISES L P : seeks control of Southwest Gas, starts board battle
10/14ICAHN ENTERPRISES L P : launches offer for Southwest Gas shares, seeks to replace board
10/14Icahn plans tender offer for Southwest Gas shares, board battle
10/13Electric-truck maker Lordstown Motors appoints Adam Kroll as CFO
10/13SOUTHWEST GAS : Defends Questar Pipelines Acquisition in Letter to Icahn
10/13CARL ICAHN : Southwest Gas Defends Planned Acquisition in Letter to Icahn
10/11SOUTHWEST GAS : Board Adopts Rights Plan in Bid to Thwart Icahn
More news
Analyst Recommendations on ICAHN ENTERPRISES L.P.
More recommendations
Financials (USD)
Sales 2021 11 751 M - -
Net income 2021 95,0 M - -
Net Debt 2021 - - -
P/E ratio 2021 153x
Yield 2021 -
Capitalization 14 935 M 14 935 M -
Capi. / Sales 2021 1,27x
Capi. / Sales 2022 1,37x
Nbr of Employees 23 833
Free-Float 99,8%
Duration : Period :
Icahn Enterprises L.P. Technical Analysis Chart | IEP | US4511001012 | MarketScreener
Technical analysis trends ICAHN ENTERPRISES L.P.
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus BUY
Number of Analysts 1
Last Close Price 56,46 $
Average target price 70,00 $
Spread / Average Target 24,0%
EPS Revisions
Managers and Directors
Aris Kekedjian President & Chief Executive Officer
David Willetts Chief Financial Officer & Director
Carl Celian Icahn Chairman
Alvin Buzzy Krongard Independent Director
Michael Nevin Managing Director & Director