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A comment on Nikola stock craters after cancellation of major garbage truck order. Parent comment

Re:Nikola stock craters after cancellation of major garbage ... by tdeck on Friday December 25, 2020 @04:39AM (#25535407)
An amusing example of this: a pharma startup wanted to sell shares to raise money for drug development, so they bought a tiny Las Vegas concession vendor called Fun City Popcorn that was already public and then merged with them: https://sec.report/Document/0001144204-05-032459/

I heard about this on 99% invisible:

https://99percentinvisible.org/episode/orphan-drugs/

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Re:Nikola stock craters after cancellation of major garbage ... by JumpCrisscross on Friday December 25, 2020 @05:24AM (#25535589)
> An amusing example of this: a pharma startup wanted to sell shares to raise money for drug development, so they bought a tiny Las Vegas concession vendor called Fun City Popcorn that was already public and then merged with them

This is a reverse merger. SPACs, or blank-cheque companies, involve a reverse merger. But they’re a specialised case of them.

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Re:Nikola stock craters after cancellation of major garbage ... by raverbashing on Friday December 25, 2020 @05:16AM (#25535555)
I'm sure there's nothing wrong with a small concession vendor being a public company neither.

Sounds like I should just go to Robinhood and put all my money on it

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Re:Nikola stock craters after cancellation of major garbage ... by djbebs on Friday December 25, 2020 @05:37AM (#25535644)
Why would it be wrong?
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