Fisker Inc. (NYSE: FSR)
Fisker Inc. (NYSE: FSR) is a pioneer in the development of electric vehicles. Based in Los Angeles, California, Fisker is revolutionizing the automotive industry by developing some of the most desirable and eco-friendly electric vehicles in the world.
Passionately driven by a vision of a clean future for all, the company is on a mission to become the number one e-mobility service provider with the world’s most sustainable vehicles.
On July 13, 2020, Fisker announced it would become a publicly traded company by merging with special purpose acquisition company (SPAC) Spartan Energy Acquisition Corp. (NYSE: SPAQ). Spartan is an affiliate of Apollo Global Management Inc. (NYSE: APO), a leading alternative investment manager. The deal to acquire Fisker values the company at $2.9 billion and will allow Henrik Fisker to remain at the helm as CEO (http://nnw.fm/J1cuU).
The deal is expected to close in the fourth quarter of 2020. Once the merger is complete, Fisker will be listed on the New York Stock Exchange. The proposed transaction is anticipated to provide Fisker the necessary funding to bring its first product, the Fisker Ocean, to production.
Commenting on the transaction in a news release, company Founder, Chairman and Chief Executive Officer Henrik Fisker said, “Today, the realization of the world’s first digital car company took another major step forward, advancing our mission to commercialize the world’s most emotional and sustainable vehicles, while upholding our vision of a clean future for all. We are excited to partner with Apollo, a world-class financial institution who brings deep industry expertise, extensive global relationships and a shared commitment to ESG. This vote of confidence from investors, coupled with our exciting progress on the development of our first vehicle, lays out Fisker’s path to 2022 and beyond.”
The Fisker Ocean is a fully electric SUV with premium styling and features. It has been designed to be the world’s most sustainable vehicle, incorporating environmentally friendly and recycled materials. The vehicle has won numerous awards since its debut at the Consumer Electronics Show earlier in 2020, highlighting strong market reception for this type of vehicle and for the Fisker ethos of appealing design and sustainability.
The Fisker Ocean will be available to consumers through an innovative leasing package, optimized for driver convenience and accessibility.
According to the CEO, drivers of the Fisker Ocean SUV will benefit from the company’s unique adaptable lease program that maximizes affordability while delivering unrivaled ownership flexibility. Deployed through its proprietary app, the company’s leasing model has been designed to appeal to customers looking for the ultimate in sustainable mobility and freedom from traditional and restrictive leasing programs.
With off-road capabilities, the vehicle also boasts ‘California mode’. This patented feature, inspired by the Fisker brand’s roots and passion for the Southern California coastline, lowers and slides nine glass windows and panels to open the entire cabin with one touch – creating an open-air feeling, while still maintaining a full “roll cage” safety structure around passengers.
The standard four-wheel drive configuration will deliver an output of more than 225 kilowatts, or more than 300 horsepower, with an ultra-high-performance version targeting zero-to-60 mph in less than three seconds. The SUV will have a 250- to 300-mile all-electric range.
Early vehicles are expected to be available from the end of 2021. Widespread deliveries are scheduled to commence globally in 2022.
Interest and investment in clean technology have been trending upward for several years as the world becomes increasingly aware of the damaging effects that pollution and greenhouse gas emissions have on the environment.
Although EVs are a growing segment of this clean technology movement, the market is still fairly untapped and ripe with potential. Fisker is taking advantage of this fact by raising capital to increase production.
To distinguish itself from the many other EV producers, Fisker is developing what it refers to as the eco-friendliest EV on Earth. The company’s targeted price range of $37,000 to $69,000 for the new line of SUVs would favorably position it against more expensive offerings from companies like Volvo and Rivian, which plan to develop their own lines of electric SUVs.
A key element of the company’s go-to-market strategy is a network of partnerships with established manufacturers and service providers. The company has a manufacturing relationship with Volkswagen (VW) and will leverage VW’s modular electric drive matrix for its electric battery drivetrain. By partnering with VW, Fisker will cut the time required to go to market in half while maintaining essentially the same costs.
Fisker also partners with Electrify America to access its charging stations. Electrify America is investing $2 billion through 2027 to develop a nationwide electric charging network. This relationship puts Fisker in a position to have charging capabilities comparable to EV powerhouse Tesla.
The company also partners with Cox Automotive for local storage and maintenance services. Cox provides Fisker with 78 service locations in the U.S. and 108 on a global scale that will be authorized as full-service maintenance hubs.
By leveraging these valuable relationships, the company can continue to concentrate solely on designing and producing electric vehicles.
Henrik Fisker is the Founder, Chairman and CEO of Fisker Inc. He co-founded Fisker Automotive in 2007 to create the first green lifestyle automotive company. At Fisker, he raised more than $1 billion in capital and took the company from concept to full scale production, sales and marketing of its first model: Fisker Karma. Fisker also designed all future products for the company. As a design-led company, he positioned Fisker Automotive as a sustainable luxury lifestyle automotive company within nine months of launching the Fisker Karma, creating a world record in establishing a luxury brand, with more than $200 million in revenue in the first nine months.
Dr. Geeta Gupta Fisker is the Co-Founder & CFO of Fisker Inc. An investment professional with a background in life sciences, she has extensive experience with equity, debt and structured finance and brings sophisticated financial engineering acumen to the company. She also enjoys complex deal negotiations and is passionate about innovative business models, intellectual property and disruptive technologies. Her many roles include securing investors and building various teams across the organization.
Burkhard Huhnke is the Chief Technology Officer at Fisker Inc. Huhnke is an accomplished entrepreneurial and international innovation and R&D executive, advisor, consultant and strategist who is focused on the next generation of smart, safe and secure automobiles.
- Fisker is revolutionizing the automotive industry by developing some of the most desirable and eco-friendly electric vehicles in the world.
- On July 13, 2020, Fisker announced it would become a NYSE publicly traded company by merging with special purpose acquisition company (SPAC) Spartan Energy Acquisition Corp. (NYSE: SPAQ).
- The proposed transaction is anticipated to provide Fisker the necessary funding to bring its first product, the Fisker Ocean, to production.
- The vehicle has won numerous awards since its debut at the Consumer Electronics Show earlier in 2020, highlighting strong market reception for this type of vehicle and for the Fisker ethos of appealing design and sustainability.
- A key element of the company’s go-to-market strategy is a network of partnerships with established manufacturers and service providers, including Volkswagen, Electrify American and Cox Automotive.