Company News

Shares in Italy's CNH down 6.2% after Nikola founder steps down

FILE PHOTO: A CNH Industrial building is pictured in Turin, Italy, February 5, 2020. REUTERS/ Massimo Pinca

MILANO (Reuters) - Italy's CNH CNHI.MI was one of the top losers on Milan's bourse on Monday, its shares down over 6% in early trade, after the founder of U.S. electric truck maker Nikola Corp's NKLA.O stepped down as executive chairman, a trader said.

“The news of Nikola’s Trevor Milton stepping down is bringing (CNH) stock down,” a Milan-based trader told Reuters.

CNH Industrial owns 7.1% of Nikola Corp.’s share capital.

Nikola said on Sunday Milton was leaving as the company is battling allegations from a short-seller that it misled investors and automakers. The group rejected the accusations and threatened to take legal action.

Reporting by Giancarlo Navach, editing by Giulia Segreti