Nikola (NASDAQ:NKLA) stock is on the move Friday after the company announced that it is pushing back the date for its 2023 Annual Meeting of Stockholders.
As a result, Nikola will now hold its meeting on Aug. 3, 2023. The company is seeking approval for several motions and still needs more shareholder votes for Proposal 2. This is its “Restated Certificate to Increase the Authorized Number of Shares of Common Stock.”
Nikola is delaying the shareholder meeting as a change is coming to Section 242 of the Delaware General Corporation Law. This will make it so that a majority of voting shares can approve a proposal rather than a majority of overall shares. The change will go into effect on Aug. 1, 2023.
Nikola notes that if this new law was already in effect, a significant number of shares would have already voted in favor of the authorized stock increase. This has the company hopeful that delaying the shareholder meeting will result in approval of Proposal 2.
NKLA Stock Movement on Friday
As for how this news is affecting NKLA stock, some 20 million shares have changed hands as of this writing. For the record, the company’s daily average trading volume is still well above that at 49.9 million shares.
NKLA stock is also up 10.4% as of Friday morning. However, it’s still down 35.4% since the start of the year.
Investors seeking out more of the latest stock market news are going to want to keep reading!
We have all of the biggest stock market stories that traders need to know about on Friday! A few examples include why shares of Fisker (NYSE:FSR), Mullen Automotive (NASDAQ:MULN) and First Solar (NASDAQ:FSLR) stock are on the move today. You can catch up on all of this news by checking out the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
