Fisker Files for Bankruptcy Protection: A Look at the Troubled History of the EV Manufacturer

Embattled American electric vehicle (EV) manufacturer Fisker has filed for bankruptcy protection in the United States in a bid to salvage its operations amidst financial difficulties. The history of the Fisker brand has been tumultuous, with the company facing challenges since its inception in 2007.

Founded by Danish automotive designer Henrik Fisker, the original Fisker Automotive was derailed by the bankruptcy of its battery supplier, A123 Systems, in 2012. The assets were later sold to Wanxiang Group, leading to the reformation of the brand as Fisker Inc. in 2016. Despite initial success, including a backdoor listing on the New York Stock Exchange in 2020 and the release of the Fisker Ocean electric SUV in 2023, the company encountered financial difficulties.

Fisker Group, the operating subsidiary of Fisker Inc, filed for Chapter 11 protection on Monday, with plans to sell assets and restructure debt. The company is in advanced discussions with financial stakeholders for debtor-in-possession financing. The manufacturing pause of the Fisker Ocean will continue as the company seeks to ensure its reduced operations can continue.

Fisker Inc emphasized its achievements in bringing the Ocean SUV to market quickly and delivering sustainable vehicles. However, market and macroeconomic challenges have impacted the company’s ability to operate efficiently. The decision to file for bankruptcy was deemed the most viable path forward.

Fisker Inc joins other smaller EV brands like Proterra, Lordstown, and Electric Last Mile Solutions in filing for bankruptcy in recent years due to weakening demand and financial issues. Earlier this year, Fisker was in talks with a major car manufacturer for investment, but the discussions fell through in March.

The bankruptcy filing marks a challenging chapter for Fisker as it navigates the evolving landscape of the electric vehicle industry.