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Nikola ZapGo Termination Letter

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Hindenburg Research
Hindenburg Research

Nikola Corporation is terminating its letter of intent with ZapGo Ltd. due to concluding that ZapGo will be unable to deliver its Generation 4 Carbon-Ion Cell as expected in terms of performance and cost. Nikola will not proceed with the planned acquisition and the letter of intent is hereby terminated. Per the terms, any development costs paid to ZapGo to date will be converted to equity in ZapGo. Nikola requests acknowledgment of receipt of this termination letter.

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Exhibit 2 Case 1:20-cv-00380-CFC Document 1-2 Filed 03/17/20 Page 1 of 2 PageID #: 39
www.nikolamotor.com | 4141 East Broadway Road | Phoenix | AZ | 85040 26 February 2020 Sent via email stephen.voller@zapgo.com Mr Stephen Voller ZapGo Ltd Genesis Building Library Avenue Harwell Oxford OX11 0SG United Kingdom Dear Stephen: Nikola - ZapGo Ltd Letter of Intent dated October 31, 2019 (“Letter of Intent”) After a thorough review of your plans related to the Generation 4 Carbon-Ion Cell (the “Development Product”), we have been forced to conclude that ZapGo will not be able to deliver a Development Product that performs to our expectations and needs (both as to performance and cost parameters) as contemplated by the Letter of Intent. Therefore, we regret to inform you that we are hereby giving notice in accordance with paragraph 13(b) of the Letter of Intent that we do not intend to proceed with the Acquisition (as such term is defined in the Letter of Intent), and that the Letter of Intent and further obligations thereunder are hereby terminated. We understand that, in accordance with the penultimate sentence in paragraph 5 of the Letter of Intent, Development Costs paid to date will be converted to an equity interest in ZapGo. We should be grateful if you could acknowledge receipt of this letter. Very truly yours, Trevor Milton Chief Executive Officer Nikola Corporation cc: Stan Pierson - spierson@pillsburylaw.com James Campbell – james.campbell@pillsburylaw.com DocuSign Envelope ID: AE8F1072-E271-4B4E-AB99-F64299022024 Case 1:20-cv-00380-CFC Document 1-2 Filed 03/17/20 Page 2 of 2 PageID #: 40

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Nikola ZapGo Termination Letter

  • 1. Exhibit 2 Case 1:20-cv-00380-CFC Document 1-2 Filed 03/17/20 Page 1 of 2 PageID #: 39
  • 2. www.nikolamotor.com | 4141 East Broadway Road | Phoenix | AZ | 85040 26 February 2020 Sent via email stephen.voller@zapgo.com Mr Stephen Voller ZapGo Ltd Genesis Building Library Avenue Harwell Oxford OX11 0SG United Kingdom Dear Stephen: Nikola - ZapGo Ltd Letter of Intent dated October 31, 2019 (“Letter of Intent”) After a thorough review of your plans related to the Generation 4 Carbon-Ion Cell (the “Development Product”), we have been forced to conclude that ZapGo will not be able to deliver a Development Product that performs to our expectations and needs (both as to performance and cost parameters) as contemplated by the Letter of Intent. Therefore, we regret to inform you that we are hereby giving notice in accordance with paragraph 13(b) of the Letter of Intent that we do not intend to proceed with the Acquisition (as such term is defined in the Letter of Intent), and that the Letter of Intent and further obligations thereunder are hereby terminated. We understand that, in accordance with the penultimate sentence in paragraph 5 of the Letter of Intent, Development Costs paid to date will be converted to an equity interest in ZapGo. We should be grateful if you could acknowledge receipt of this letter. Very truly yours, Trevor Milton Chief Executive Officer Nikola Corporation cc: Stan Pierson - spierson@pillsburylaw.com James Campbell – james.campbell@pillsburylaw.com DocuSign Envelope ID: AE8F1072-E271-4B4E-AB99-F64299022024 Case 1:20-cv-00380-CFC Document 1-2 Filed 03/17/20 Page 2 of 2 PageID #: 40