CNH Industrial will acquire a strategic equity of US$ 250 million from NIKOLA and become a major investor in Series D financing, including US$ 654.38 billion in cash and US$ 654.38 billion in services, such as product development, manufacturing engineering and other technical assistance, and supply some key components to speed up the production time of Nikola TWO and Nikola TRE.
According to the plan, Iveco and FPT Industrial, commercial vehicle and powertrain brands under CNH Industrial, will use their engineering and manufacturing expertise to industrialize Nikola's fuel cells and battery electric trucks. The first batch of products included in the product plan includes three products, namely, Nicola No.1, class 8 long-headed heavy truck conforming to NAFTA standards, Nicola No.2, class 8 long-headed heavy truck conforming to North American Free Trade Agreement, and most importantly, Nicola TRE, cab heavy truck conforming to European standards.
Nicola TRE will be built on the S-WAY just released by Iveco this year to meet the needs of consumers outside Europe and North America.
According to CNH Industrial's "win-win transformation" strategy, it will be divided into highway assets and off-highway assets, and the two companies will be listed separately. Iveco's "On-Highway" company is planned to be split from CNH Industrial at the beginning of 20021,but it needs the approval of the special shareholders' meeting and is expected to be held in the second half of 2020.
"Highway" company will include several brands, namely Iveco, Iveco bus, Heuliez bus and FPT industrial powertrain business. Through the investment in product and technology upgrading, the market position and product lineup of Iveco brand will be further strengthened.
The well-known manufacturer of Astra special vehicles, Iveco defense and professional fire engines, Markey Lu Si, is classified as an "off-highway" company, and these companies will further develop their industry-leading products for their professional customers.
Mr. Suzanne Heywood, Chairman of Kessner Dutch Industry Group, said: "This bold plan will promote the emergence of two new global leaders in their respective fields. We carried out a series of rigorous work in the process of formulating the strategy, which provided the strongest support for the confidence of the board of directors in firmly supporting the five-year strategic plan. "