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Fisker breaks silence about potential bankruptcy. Here's what it had to say.

By Claudia Assis

EV maker is still aiming to strike a deal with another carmaker

Fisker Inc. late Thursday tried to ward off talks of a potential bankruptcy filing, saying it engages with advisers as a matter of course and that it still aims to strike a deal with another carmaker.

Fisker's stock (FSR) was halved on Thursday, following a report Wednesday by the Wall Street Journal that the beleaguered EV maker was exploring a bankruptcy filing and had hired restructuring advisers.

Late Thursday, Fisker executives said in a statement that, in general, it does not comment on "market rumors and speculation." But they went to say that the company "often" works with outside advisers to help manage the business "and assist in developing and executing strategies."

"Fisker is focused on raising additional capital and engaging in a strategic partnership with a large automaker," the EV maker said. The plan to shift its direct-to-consumer strategy to a dealer model is also still on track, the company said.

"The leadership team is laser-focused on these efforts," Fisker said.

Fisker said two weeks ago it could run out of cash and revealed it was aiming for a partnership with an unnamed carmaker or an investment. Reuters reported then that Japan's Nissan Motor Co. (JP:7201) would be the investor.

The Nissan Leaf was one of the first mass-market EVs to be ready for U.S. sales, but the automaker quickly lost that early-mover advantage to Tesla Inc. (TSLA).

Fisker became public through a blank-check company in 2020 and has been dubbed the "Apple of autos" for its strategy of outsourcing the making of its EVs to instead focus on design and consumer-interface elements.

Related: Rivian's 'stunning strategy' wins over Wall Street

A predecessor of Fisker, also under the leadership of Chief Executive Henrik Fisker, went bankrupt in 2013 after some six years in business.

Shares of Fisker have lost 97% in the past 12 months, contrasting with gains of around 31% for the S&P 500 index SPX in the same period.

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-Claudia Assis

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.


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03-14-24 1757ET

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