Henrik Fisker, a broadly revered Danish automotive designer, joined the battle for electrical car dominance in 2007 together with his first endeavor, Fisker Automotive, however failed. The corporate ended together with his resignation and chapter in 2013. Now the designer-turned-CEO is again and decided to get it proper.
In 2016, he got here again with a brand new firm bearing virtually precisely the same name and logo. The brand new plan: As a substitute of creating high-end sedans with six-figure value tags, goal the mass market with a midrange, midsized electrical SUV. He has plans for a smaller, even cheaper crossover, a midsize pickup truck, and, sure, an almost $400,000 electrical supercar.
However the firm has struggled to ship automobiles to its clients and has confronted software program issues and a frightening money burn. And, it carries greater than $1 billion in debt.
In its earnings launch for the fourth quarter, Fisker mentioned there’s substantial doubt about its capacity to proceed as a going concern.
“I might not be in the least shocked if Fisker is bankrupt earlier than the top of 2024,” mentioned Sam Abuelsamid, principal analysis analyst at Guidehouse Insights.
The plan is to start out promoting automobiles by sellers and search exterior funding from a big automaker. According to Reuters, that automaker is Nissan. Each corporations declined to touch upon the report.
In the meantime, shares of the corporate commerce effectively beneath $1 apiece, placing Fisker in peril of being delisted by the New York Inventory Alternate.
“I feel it’s grossly undervalued,” Henrik Fisker mentioned of the inventory in an interview with CNBC in early February, saying that the corporate’s share value is being hit by industrywide headwinds and better rates of interest. “It extra displays the final sentiment. And I feel some analysts and traders have a tough time to see who really goes to be the winners.”
Watch the video to study extra.
