Electric truck startup Lordstown slumps 12% on SEC probe – Reuters

Electric truck startup Lordstown slumps 12% on SEC probe – Reuters

(Reuters) - Lordstown Motors Corp shares plunged nearly 12% on Thursday after the electric pickup truck firm disclosed a regulatory inquiry over a short seller's report claiming the company was using “fake” orders to raise capital.FILE PHOTO: U.S. Nikola's logo is pictured at an event held to present CNH's new full-electric and Hydrogen fuel-cell battery trucks in partnership with U.S. Nikola event in Turin, Italy, December 3, 2019. REUTERS/Massimo PincaThe drop was the latest sign of a recent retreat in the once high flying electric vehicle sector, whose ranks have been swollen by the recent boom in special purpose acquisition companies, or SPACS.Nikola, another electric pickup truck startup which has been attacked by the Hindenburg in the past, separately fell more than 7% hit by a key investor cutting its stake.Lordstown and Nikola, which both went public via acquisitions by SPACS - shell companies that use their IPO proceeds to acquire private firms - are both down roughly 50% from their highs this year. Concern about technology, as well as rising yields, have weighed on the sector.South Korea's Hanwha Corp will be selling up to half of its stake in Nikola, the EV maker said on Wednesday, amid concerns about