Fisker (FSR) stock falls after failing to make an interest payment, pauses EV production
EV startup Fisker (FSR) is pausing EV production for six weeks as its financial struggles worsen. Fisker looks to get its finances in order after failing to make an interest payment. The EV maker did get a commitment for up to $150 million in financing, but will it be enough?
Fisker is halting production as EV woes worsen
Fisker reiterated there is “substantial doubt” in its ability to continue operations after missing an interest payment.
According to an SEC filing on Monday, Fisker is pausing EV production for six weeks, starting immediately. The move is to “align inventory levels and progress strategic and financing initiatives.”
The EV startup was unable to file its annual report (10-K) due on March 15, putting it in default under its convertible notes due in 2025. Because of this, investors retain the right to convert the payable amount. The investors waived the right on Monday as Fisker works to file the report.
In addition, Fisker failed to make an interest payment of $8.4 million on March 15, 2024. The company has a 30-day grace period to make the payment before it goes into default.
Fisker said it “elected not to make the interest payment,” even though it currently has the liquidity to do so, as it looks to improve its financial situation.
The EV startup cash and equivalents dwindled to just $120.9 million (as of March 15, 2024) after making “significant payments” to suppliers. That’s down from $736.5 million at the end of 2022 and $325.5 million at the end of 2023.
Substantial doubt in its ability to continue
As of December 31, 2023, Fisker’s accounts payable were $182 million. However, Fisker expects more cash will be needed to pay debt and scale EV production.
Fisker will need to raise additional debt (or equity financing), partner with an OEM, or generate cash from vehicle sales to continue operations.
Fisker continues to seek funding through equity raises or partnering with an OEM. Earlier this month, reports suggested Fisker and Nissan were in “advanced talks” that could give the EV maker a financial lifeline (and an electric pickup). However, Nissan has since partnered with rival Honda.
The company said it is “continuing negotiations with a large automaker” that could include an investment, joint EV platform development, and North American manufacturing.
Fisker did get a financing commitment from an existing investor worth up to $150 million, but that won’t be enough to fund operations long-term.
After producing zero vehicles in January, Fisker built about 1,000 from February 1 to March 15. The company sold about 1,300 cars in the first two months of 2024.
Following the news, Fisker’s (FSR) stock is down over 11%. The company is facing a delisting from the NYSE exchange, with its stock price well below the required minimum of $1.00 per share. Fisker shares are currently around 0.115 per share, down 97% over the past year.
Fisker’s current vehicle inventory includes:
- North America: 1,168 at parts, 11 in transit, 180 at sea, 2,140 in storage, and 171 produced but not delivered.
- EU: 131 at port, 5 in transit, 72 at sea, 739 in storage, and 105 produced and undelivered.
- Work-in-progress vehicles include 175 in North America and another 126 in the EU.
Electrek’s Take
Fisker’s journey so far has been anything but easy, but their ability to continue just got even more challenging. After failing to miss an interest payment, Fisker is pausing EV production.
It’s already struggling to make ends meet, and now it’s halting its primary revenue source. Fisker already has a ton of convertible notes ($1.2 billion) issued that will need to be paid back.
Without significant financial backing, likely from an OEM, it will be nearly impossible for Fisker to repay them.
To make matters worse, Fiker is likely to be delisted from the NYSE, making raising equity even harder.
What do you guys think? Can Fisker pull through? Let us know what you think in the comments.
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Veteran bicycle brand and e-mobility innovator Huffy is joining the Black Friday sales festivities with an exclusive deal for Electrek readers on its 36-volt Electric Green Machine drift trike. Use the promo code below for 30% off your purchase.
Huffy puts over 130 years of experience into its products
Huffy is easily a household name in bicycles. The company is celebrating over 130 years in the segment and has shown no signs of slowing down. The brand is sold across thousands of retail locations and ships millions of bikes to customers throughout the US and 40 additional international markets each year.
The Huffy name is known for products that deliver riders comfort, style, and durability. Whether on a bike, trike, scooter, or ride-on, there’s something for every member of the family to enjoy. Since 2019, Huffy has been calling riders together with its rally cry, “Live the Ride,” which encourages families to celebrate togetherness by exploring the outdoors atop its products.
Whether that means leisurely rides through local parks with friends, family outings, traversing local trails, or exploring new cities during a summer getaway, Huffy strives to remind riders of the simple youthful joy that riding can bring.
Since Huffy launched the 20” Green Machine in 2023, teens and adults have been asking for a version that would allow them to experience the same adventure, fun, and thrill of each spin and drift. Huffy answered the call with their new Electric Green Machine, a nostalgic and electrified version of the classic drift trike Huffy fans know and love. This powerhouse drift-trike is packed with 36 volts of electric power and a 250-watt front hub motor that lets riders reach exhilarating speeds of up to 15 miles per hour. Perfect for thrill-seekers ages 14 and up, the Electric Green Machine reignites the fun and excitement of childhood rides.
All of Huffy’s products, including the Electric Green Machine seen below, are thoughtfully crafted for the moments that happen when you pop up your kickstand and see where the path takes you. In the case of the E-Green Machine, Huffy wants riders to unleash a whirlwind of thrilling drifts and slides right when they climb into the cockpit.
To help even more riders experience holiday thrills this season, Huffy is offering an exclusive discount on the Electric Green Machine for Electrek readers. Whether buying it for yourself or friends and family, the Electric Green Machine is the perfect gift to put under the tree this holiday season. If you’re ready to start drifting, use the promo code below to save some “green” on your purchase⎯but only for a limited time!
Don’t miss Huffy’s Black Friday deal on the Electric Green Machine
The new Electric Green Machine is available on Huffy.com for $599.99. However, you can use promo code “ELECTREKGM” at checkout for 30% off your purchase (valid on the Electric Green Machine only).
Huffy’s Black Friday deals are available now, but only until 11:59 PM on December 8, 2024, so act quickly while supplies last. This year, holiday thrills start with red and green at Huffy. Be sure to take advantage of this limited-time offer and check out the other limited-time deals on Huffy’s site this week (offering up to 55% across a range of products).
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Environment
Watch Hyundai’s massive $7.6B Georgia EV plant go up in just 2 years in this video from space
Hyundai’s new EV plant in Georgia is now up and running. The massive $7.6 billion facility was built in just two years as the company preps for new US-made electric models like the upgraded 2025 IONIQ 5 and its new three-row IONIQ 9. A cool new video from space shows just how quickly Hyundai worked to open the facility.
Watch Hyundai’s new EV plant go up from space
Production officially began at the new Hyundai Motor Group Metaplant America (HMGMA) in Bryan County, Georgia last month.
The accomplishment comes after Hyundai broke ground at the site in October 2022. In May 2022, Hyundai announced plans to build its first dedicated EV plant in the US to meet new requirements for the federal EV tax credit, which provides up to $7,500 for clean car purchases.
Hyundai fast-tracked construction at the plant as it looked to gain an edge in the US, its most important market. The company’s initial $5 billion investment turned into a whopping $7.6 billion.
According to a study from the Center for Automotive Research, Hyundai’s EV plant will help create over 58,200 new jobs while attracting over $12.6 billion in investments in Georgia. Last month, the company secured its 18th supplier as it builds out an extensive US network.
A new video from space-based intelligence company BlackSky shows an impressive timelapse of the construction.
You can see the massive facility go up in just two years as Hyundai looks to secure a leadership role in the US auto industry.
Hyundai’s new EV plant will directly employ 8,500 workers to build up to 300,000 EVs per year. The first vehicle that rolled off the assembly line was the refreshed 2025 IONIQ 5.
The upgraded 2025 Hyundai IONIQ 5 now features even more range (318 miles), a sleek new style, and it even comes with an NACS plug so you can charge at Tesla superchargers. The base, 2025 IONIQ 5 SE RWD Standard Range model, starts at just $42,500.
Last week, after unveiling its first three-row electric SUV, the IONIQ 9, Hyundai confirmed it would also be built at its Georgia facility.
Despite President-Elect Trump’s transition team reportedly planning to end the $7,500 EV tax credit, Hyundai is confident in the company’s future.
At the LA Auto Show, the company’s newly electric CEO, Jose Munoz, said in an interview, “Hyundai did not build our investment plan based on incentives; the plan was even made before Trump’s term.” Munoz explained even without the credit now, Hyundai is still gaining market share.
Ready to check out Hyundai’s best-selling electric SUV for yourself? With the new 2025 IONIQ 5 arriving, Hyundai is offering closeout deals on 2024 models. You can use our link to find the best deals on 2024 and 2025 Hyundai IONIQ 5 models at a dealer near you.
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The world’s first electric muscle car is finally here, and Dodge is already sweetening the deal for buyers. The Dodge Charger Daytona EV is launching with 0% APR, making it even cheaper to finance than the outgoing gas-powered model.
Dodge Charger EV launches with 0% APR offer
The first all-electric Dodge Charger has arrived, and surprisingly, it’s already becoming more affordable. In March, Dodge unveiled the Charger Daytona EV, kicking off “the next generation of Dodge muscle.”
According to Dodge brand CEO Tim Kuniskis, the electric Charger “delivers Hellcat Redeye levels of performance.” That’s for the Scat Pack model, which comes with a Direct Connection Stage 2 upgrade kit straight from the factory.
The upgrade delivers up to 670 hp and 627 lb-ft of torque for a 0 to 60 mph sprint in just 3.3 seconds. It can also cover a quarter mile in around 11.5 seconds.
In comparison, the 807 hp Dodge Charger SRT Redeye Jailbreak edition, powered by a Supercharged 6.2L HEMI SRT V8 engine, takes 3.6 seconds to get from 0 to 60 mph.
With a Stage 1 upgrade, the base R/T trim has up to 456 hp and 404 lb-ft of torque, good for a 0 to 60 mph time in 4.7 seconds.
Dodge opened orders for the 2024 Charger Daytona EV in September, starting at $59,995. The High-performance Scat Pack trim starts at $73,190.
According to a new dealer note viewed by online auto research firm CarsDirect, all 2024 Dodge Charger Daytona EV models are now eligible for 0% APR financing for up to 72 months.
| 2024 Dodge Charger Daytona EV trim | Horsepower | 0 to 60 mph time | Starting price |
| Dodge Charger Daytona R/T | 496 hp | 4.7 seconds | $59,995 |
| Dodge Charger Daytona Scat Pack | 670 hp | 3.3 seconds | $73,190 |
The offer makes the electric Dodge charger even cheaper to finance than the outgoing 2023 Dodge Charger at 5.9% APR for the same 72 months. However, this is an individual offer and cannot be combined with other deals. Based on CarsDirect analysis, the 0% APR offer is limited to the Northeast, Southern, and Central US regions.
Dodge is also offering a $1,000 loyalty bonus for Stellantis (Jeep, Dodge, Ram, Chrysler) lessees that trade in for the electric Charger.
With the $7,500 EV tax credit incentive, eligible customers can save up to $8,500 on the 2024 Dodge Charger Daytona EV. You may want to act fast, as these deals expire on December 2, 2024.
Jeep, another Stellantis brand, launched lease prices at just $599 per month for its first luxury electric SUV last week, the Wagoneer S. Jeep’s electric Wagoneer is also available with 0% financing.
Ready to check out the world’s first electric muscle car for yourself? We can help you get started today. You use our link to find deals on 2024 Dodge Charger Daytona models at a dealer near you.
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