Fisker seeks judge's approval to sell Ocean SUVs at $14k each

FISKER’S BANKRUPTCY: THE SALE OF OCEAN EV SUVS AND ITS IMPLICATIONS

Author: Mansoor Ali Media Courtesy: Fisker

Bankruptcy Sale

[{"selector":"#anim-b88dbce1-8641-4a5b-8e74-0eedb63350c0 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-7fe27600-8dc6-415d-b863-85940f6abb54","keyframes":{"transform":["translate3d(-116.39871%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-314f584d-bae5-473b-9a1a-43c9efea3bc7","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e9f0b82d-c44b-45a6-a2e2-294428add794","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-6856ef26-78eb-4cbe-8a80-bde173ed2e4c","keyframes":{"transform":["translate3d(117.91532%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-4467e86d-4dd4-43fb-bdb0-986d14516717","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-068a0d3e-9a20-4940-b7b3-9da766c5046c","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Fisker, a California-based EV startup, seeks court approval to sell its remaining SUVs at 80% off Media Courtesy: Fisker

Financial Struggles

[{"selector":"#anim-7736983d-c509-4e00-ae78-b5458d5d7aa7 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-c52656b3-44db-4cb2-ae09-babaceab6683","keyframes":{"transform":["translate3d(115.43408%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d030b14c-302c-4632-8400-64d320312e71","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7742cfb4-89c9-4776-8e48-cfd7129804c9","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-375d2942-a22b-4f96-8ec9-70c689699cf8","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-17a226ac-acfa-44b6-9f10-2d38b2ce8570","keyframes":{"transform":["translate3d(117.26385%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Fisker warned of potential cash depletion, laid off hundreds of employees, and halted production before filing for bankruptcy in June. Media Courtesy: Fisker

Court Approval Sought

[{"selector":"#anim-adb286ae-2ba5-464a-ac19-5a96628adafd [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-a190362d-fa86-4208-8fb8-f9e17967ec87","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-49bb9444-ae03-460f-8b18-05742a6f4502","keyframes":{"transform":["translate3d(0px, 654.00500%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9a0e2302-d504-4e1a-bc6b-953845c9fdbc","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-c788644d-cc2c-4476-9a8e-5242078e4f64","keyframes":{"transform":["translate3d(0px, -751.52801%, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Fisker wants to sell 3,321 EVs to American Lease for just over $46 million. Media Courtesy: Fisker

Market Challenges

[{"selector":"#anim-df1a777a-de4a-4984-adf6-d24d7b60ce2e [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(0%, 0, 0) translate(25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-c5684aed-c0a2-41b4-99eb-4278ecfd53b0","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b56d7b72-cf67-42c7-87c6-389fd2211d71","keyframes":{"transform":["translate3d(115.43408%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f8bd64d7-e3c5-405e-86fa-3ae65e3a21a9","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f891d237-4c9b-4e3d-97ad-02f98911c8f1","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Fisker faced difficulties in a competitive EV market with slowing sales growth. Media Courtesy: Fisker

Drastic Price Cuts

[{"selector":"#anim-e2449507-5130-41ba-86cf-d0c03ee8235d","keyframes":{"transform":["translate3d(-118.32797%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-c2e75548-de43-4e16-afac-f28aaf86e89c","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3bae0ee8-decf-475a-b7f3-1806efceb697","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-4072df32-453b-4830-a2f8-860d936f807b [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(0%, 0, 0) translate(25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-ef17abb7-6c14-420d-a2e0-4ffcb7e2ebf6","keyframes":{"transform":["translate3d(115.63519%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2f1ea7e8-ff8e-4190-9d4a-8e0f9145ea31","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f0c7a504-7f67-438d-a6a5-cc606b6328ff","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] The remaining EVs, originally priced between $39,000 and $70,000, will be sold for about $14,000 each Media Courtesy: Fisker

Model Impact

[{"selector":"#anim-9ea5d10b-1084-4ac2-bf39-59233db8293f [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-8cc472fa-458d-4c2d-b16f-4e1c61fd4bb9","keyframes":{"transform":["translate3d(114.79100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e5e056bf-3c81-4473-ab9f-811b2ed1109d","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bb15f06f-2721-405d-8609-21604db17bb5","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-2e3dae8c-bd15-459d-8af4-0e914deebf7f","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-384ed4a8-d2fe-49a2-b86f-3d4c3f8a7120","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-35e02054-7783-4757-a5cd-756d1ff164db","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] The top-tier Ocean Extreme's price was slashed from $61,500 to $37,500 in a March sale attempt. Media Courtesy: Fisker

Internal Issues

[{"selector":"#anim-e485f2c9-8f6f-4a39-9b34-e22ec3244838 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(0%, 0, 0) translate(25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-f613b453-569e-4500-a350-305f35357e91","keyframes":{"transform":["translate3d(114.79100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6ad4185d-9fc6-40e5-956f-514fe8d73a62","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bfac4737-f905-416b-97f7-f9dcbe362d5f","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-764ee1ac-ffaf-4ad7-9f84-c6f421927e8b","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1c890fd7-f5d6-4c2c-9f04-9bd34e3d6ddb","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bfe1b2f1-f770-426e-a953-2fbe41475829","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Over 100 complaints were filed with U.S. regulators about the Ocean SUVs suddenly losing power. Media Courtesy: Fisker

Stock Plunge

[{"selector":"#anim-4d151ea6-4172-4fbf-9ba1-d1e8fc65f004 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-a88e5ef6-06da-49af-a1d1-acebd33c57d0","keyframes":{"transform":["translate3d(114.79100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2f78746b-1700-479b-a65e-e96595b5353e","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-358e6c6d-c239-4da0-b9e8-65d784b08a37","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-cf75ea34-2475-402b-b1ef-1f67be16407d","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-48319a5d-fe07-4934-b2da-d0922f0e631c","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-30d8951f-57a3-4bb9-955b-ad9c1d03b2d4","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Fisker's stock price fell 98.7% from its IPO to its delisting in March. Media Courtesy: Fisker

Debt Burden

[{"selector":"#anim-2ac63fd9-d2e4-437a-8f10-bd4a56d2f072 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(0%, 0, 0) translate(25%, 0%) scale(1.5)","translate3d(0%, 0, 0) translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"fill":"forwards"}] [{"selector":"#anim-64ce734d-24fb-477e-b129-22f48d3c1674","keyframes":{"transform":["translate3d(114.79100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-055eb88d-8adb-4e6e-b990-1fbac4d4ed24","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-79c2dc03-0c7c-4acd-be8b-dd38db486872","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-3dcaf8f5-d9fd-45e0-ac63-779a7b5a2dc6","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-27005b4d-0cbb-4a15-a443-6df5eec92654","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-67239874-8b7e-48b4-be82-32a27499cc29","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Fisker owes $1 billion to its unsecured creditors. Media Courtesy: Fisker

Limited Deliveries

[{"selector":"#anim-0098bc15-00aa-4963-bef2-12d761c74d45 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-91d74ffa-cc14-411e-889e-56a6ccd95b63","keyframes":{"transform":["translate3d(114.79100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-02ad8bc0-5cb6-4eed-a081-1e5c43201afa","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-bbf7d46b-878c-4903-81e6-1728886d0bba","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-f2d3cfb3-140f-4cf2-a3a7-98bd2aa3b282","keyframes":{"transform":["translate3d(-118.56677%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f77551cb-9132-4a8e-8418-d163d22f7cf0","keyframes":{"opacity":[0,1]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ff607418-eaf6-4c58-b5c7-3652bcd788d9","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Fisker delivered only 1,300 vehicles in 2024. Media Courtesy: Fisker More Stories