In a surprising turn of events for the electric vehicle (EV) world, the assets of the once-hyped Nikola Badger electric pickup truck have been acquired by Embr Motors, a new venture led by Dave “Heavy D” Sparks, famously known from the Diesel Brothers TV show. This acquisition marks a new chapter for the Badger, a vehicle that was once slated to be a flagship model for Nikola, before the company faced significant setbacks and controversy.
Embr Motors Takes Over Nikola Badger Project
Embr Motors now possesses the complete intellectual property associated with the Nikola Badger pickup truck. This includes not only the Badger but also assets related to Nikola’s previously abandoned projects in the off-road vehicle and personal watercraft sectors. Intriguingly, the deal also includes the only two existing prototype versions of the Nikola Badger, offering a tangible starting point for Sparks’ ambitious project. The acquisition, revealed by Sparks in a YouTube video titled “The Nikola Badger is REAL and I Own Them,” reportedly involved “tens of millions” of dollars, indicating a significant investment in reviving the dormant EV truck project.
This news arrives at an interesting juncture, especially considering the recent attempts by Nikola’s founder, Trevor Milton, to influence the company’s board. Milton, who was later sentenced to four years in prison for securities fraud related in part to misleading claims about the Nikola Badger, had even proposed Sparks as a potential board member. This effort ultimately failed, further distancing Nikola from its controversial past and solidifying its focus on heavy-duty electric trucks.
The Rise and Fall of the Nikola Badger
Nikola, established in 2014, initially focused on hydrogen and electric big rigs. However, the company unveiled the Nikola Badger in February 2020, just before its public debut via a merger with a special purpose acquisition company. The Badger, envisioned as a competitor in the burgeoning electric pickup market, quickly garnered attention. In September 2020, General Motors (GM) announced a substantial $2 billion investment in Nikola, intending to partner in bringing the Nikola Badger to production.
However, the promising trajectory of the Nikola Badger project took a sharp turn when short-selling research firm Hindenburg Research released a scathing report. The report alleged numerous false claims made by Nikola, triggering a government investigation. This ultimately led to a settlement with the SEC, Milton’s resignation, and subsequent conviction. Nikola, in the aftermath, refunded customer deposits for the Badger and effectively shelved the program, seemingly ending the Badger’s journey.
Dave Sparks Revives the Dream of the Nikola Badger
Dave Sparks, however, sees potential where Nikola saw an end. According to Nikola’s chief legal officer, Britton Worthen, Sparks and his partner, Cole Cannon, expressed a strong desire to bring the Nikola Badger to market. They presented “several EV-related partners” during deal negotiations, suggesting a serious intent to move beyond just acquiring assets and towards actual production. Nikola, in a strategic move, is essentially financing Embr’s acquisition through a loan and retaining a 30% stake in the company. This allows Nikola to potentially recoup some value from the Badger project and other vehicle assets if Embr successfully revitalizes them.
Interestingly, Sparks’ prior relationship with Nikola and Milton adds another layer to this acquisition. Sparks had received Nikola stock as part of a promotional agreement for the Badger before the program faltered. As part of the current deal, Nikola is reclaiming 500,000 of these shares. Furthermore, Sparks and Cannon have agreed to exclude Trevor Milton from any involvement, direct or indirect, in the Badger and other acquired projects, ensuring a clean break from the past controversies.
Nikola’s legal officer, Worthen, highlighted the irony of Milton’s recent attempt to regain control of Nikola, stating the company remains focused on its core mission of delivering zero-emission class eight trucks. For now, the fate of the Nikola Badger rests in the hands of Dave Sparks and Embr Motors. Whether they can successfully resurrect this once-promising electric pickup from the ashes of Nikola’s troubled past remains to be seen, but the Diesel Brothers star is certainly betting big on the Badger’s potential.
