Fisker, once considered a rival to Tesla in the electric vehicle market, has filed for Chapter 11 bankruptcy protection, seeking to restructure its debt and sell assets to save the business.
Reuters Reports The EV market has proven tough for many companies, with Fisker becoming the latest to succumb to pressures from weak demand, financing difficulties and supply chain issues. The company, founded by automotive designer Henrik Fisker, joins Proterra, Lordstown and Electric Last Mile Solutions in filing for bankruptcy in the past two years.
Fisker’s woes began in February when the company expressed concerns about its ability to continue operations. The company’s situation was exacerbated by its failure to secure a key investment from a major automaker, believed to be Nissan, which would have raised an additional $350 million from an unnamed investor. The breakdown in those talks forced Fisker to seek alternative solutions, which ultimately led to the bankruptcy filing.
Joel B. Pollack of Breitbart News previously reported on President Joe Biden’s endorsement of Fisker, writing:
Biden, 2009 promised The Department of Energy said it would create “billions of dollars in good new jobs” by giving Fisker Automotive a $529 million new loan guarantee to build electric vehicles in Delaware. Four years later, Fisker filed for bankruptcy without having built a single car in the US.
As Breitbart News reported at the time, Fisker received loan guarantees to build a $103,000 hybrid sports car called the Karma for the luxury market. Prominent politicians lobbied for the deal. Fisker filed for bankruptcy in 2013, and taxpayers lost $139 million on the venture. Republicans noted that “the jobs promised never materialized, and taxpayers are once again footing the bill for the Administration’s reckless gamble.”
Along with bankrupt solar panel maker Solyndra, Fisker was one of the stimulus package’s most high-profile failures, and Biden Directed byAnd during his campaign, Trump touted this as evidence of his ability to lead America to an economic recovery.
Regarding the Biden family’s relationship with Fisker, Defeating Biden: Exposing the hidden forces and secret funding mechanisms behind Joe Biden, his family, and his administration, By Alex Marlow, editor in chief of Breitbart News.
Hunter Biden himself figured into the Fisker story, Marlowe explains.
In October 2009, during Biden’s first term as vice president, Fisker announced its purchase of the legendary GM plant on Boxwood Road in Wilmington to produce a new electric sports car with the Orwellian name “Karma.” The company received more than $500 million in loans through the Department of Energy, where Biden’s niece Missy Owens was serving as deputy chief of staff at the time. Hunter Biden’s Rosemont business partner was also among the company’s investors.
Fisker was bankrupt within five years, and Hunter, who had bought the company with money sent by Kazakh oligarch Kenneth Rakishev, was listed as a bankruptcy creditor.
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The brand was sold to China and then reintroduced with limited success.
Fisker acknowledged the challenges it faces in a recent statement, saying, “Like others in the electric vehicle industry, we face a variety of market and macroeconomic headwinds that are impacting our ability to operate efficiently.” The company’s operating unit, Fisker Group, estimated its assets at $500 million to $1 billion and liabilities at $100 million to $500 million in its Chapter 11 bankruptcy filing in Delaware.
The company’s flagship model, the Ocean SUV, has been facing numerous software and hardware issues. Consumer Reports The company calls the vehicle “unfinished business.” The car is under regulatory investigation for a variety of issues, including braking problems and door malfunctions. Despite producing more than 10,000 vehicles last year, Fisker delivered less than half of that amount after moving to a dealer-based distribution model in January, and has struggled to clear an inventory of more than 5,000 vehicles.
Click here for details This is Reuters.
Lucas Nolan is a reporter for Breitbart News covering free speech and online censorship.
