Please ensure Javascript is enabled for purposes of website accessibility

Move Over, Tesla and Nikola -- Investors Will Soon Have Another Electric Trucking Option

By Scott Levine – Jun 19, 2020 at 11:50AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

It's important to keep current with the businesses working to electrify the trucking industry. Here's a new name to add to your watchlists.

While Nikola (NKLA -5.61%) and Tesla (TSLA -3.46%) have charged up investors' enthusiasm for electric vehicles (EV) recently, they'll soon have to share the stage. Committed to developing electrified powertrain solutions for Class 8 commercial vehicles, Hyliion announced today that it's preparing to hit the public market toward the end of the third quarter of 2020.

Similar to what Nikola did with VectoIQ earlier this month, Hyliion plans to IPO by merging with a special purpose acquisition company, Tortoise Acquisition Corp. Once the transaction closes, the new entity will be named Hyliion Holdings Corp. and trade on the New York Stock Exchange under the ticker symbol "HYLN." Thomas Healy, CEO and founder of Hyliion, will continue in the same position as CEO of the new holding company.

According to Hyliion, the pro forma implied market capitalization of the combined company is over $1.5 billion, and "proceeds will be used to fully fund the commercialization and mass production of the company's electrified powertrain solutions. Thomas Healy, CEO and founder of Hyliion will continue to serve in the same position of the new holding company.

The Hypertruck ERX from Hyliion.

Image source: Hyliion.

According to Healy, "Hyliion's solutions were specifically developed to utilize existing infrastructure in an effort to support rapid technology deployment. Our mission is to enable our fleet customers to quickly realize lower carbon emissions and significantly lower cost of ownership benefits provided by our technology."

Unlike Nikola's Class 8 trucks, which will be powered by batteries or hydrogen fuel cells, and Tesla's Semi, which is solely powered by batteries, Hyliion offers powertrains which are OEM-agnostic and can be retrofitted to existing diesel and CNG Class 8 trucks to create a hybrid electric system.

Scott Levine has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Tesla. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Tesla Stock Quote
$240.81 (-3.46%) $-8.63
Nikola Corporation Stock Quote
Nikola Corporation
$3.70 (-5.61%) $0.22

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 10/05/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.