Now I am not trying to beat a dead horse but Fisker is once again back in the news.
We recently relayed to you that Fisker had not only laid off a slew of workers in both California and Delaware, but also that its long-awaited Project Nina is languishing due to The Department of Energy's abrupt change in funding. Well, according to some this is merely the beginning of a downward spiral.
First a local SoCal publication reported that one of Fisker's investors was asked to cough up an additional $80,000 plus grand on top of the initial investment of over $200,000 or else he would lose certain rights with his share of the company. Said investor is now engaged in a lawsuit with the automaker. This neatly leads us to our second point...
Fisker is now seeking private equity funding after having what it's calling a temporary cash-flow issue. I guess you could say that when the DOE just yanked the extra $336 million doughnuts that were expected to be in the pipeline. Maybe THIS is why they're asking original investors to cough up more bucks; if they don't, their share of the company will likely get diluted.
Here's the kicker: An analyst for Wunderlich Securities has come out and stated that Fisker -- and its battery supplier A123 -- will go out of business without that much-needed funding.
To be fair, a Fisker spokesperson has said that this is a "bump in the road," and that the DOE's loans were merely support to fund Project Nina. Considering that the Karma is out and about with 1,500 supposedly produced that's blatantly obvious; however, what does this funding hold up mean for the future of Fisker?
Is this only a "bump in the road," or is this really beginning of the end for Fisker? Place YOUR bets now!
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