Mario Tama
Fisker (OTC:FSRN) has filed for Chapter 11 bankruptcy in Delaware and is in advanced talks regarding debtor-in-possession financing and the sale of its assets, as the cash-strapped electric vehicle maker struggled to keep its business running.
“… we have faced various market and macroeconomic headwinds that have impacted our ability to operate efficiently,” a company spokesperson said.
“After evaluating all options for our business, we determined that proceeding with a sale of our assets under Chapter 11 is the most viable path forward for the company,” they added.
Fisker’s production pause will remain in place. The company’s operating unit, Fisker Group, made the bankruptcy filing, which listed assets of around $500M-$1B and liabilities of $100M-$500M.
Fisker (OTC:FSRN) had raised doubts about its ability to continue as a going concern in February, after a difficult year that saw a failed attempt to secure an investment from a big automaker and issues with its Ocean SUV. It recalled 11,201 Ocean vehicles last week, and its 2023 model is being investigated by the NHTSA.
