Fisker Karma

[Martini]

The details of the execution of the Karma almost don't matter. The real issue is the $1.2 Billion+ that have been invested in this company. There are no reasonable scenarios where their business model can support that level of capital investment. Bankruptcy and restructuring or purchase are the only real hopes for this company.

One of the keys to Tesla's success has been their ability to conserve capital and be extremely capital efficient. That and a great product are both needed for a successful start up. I'm amazed they were able to recover after Martin Eberhard almost wrecked the company. Kudos to Elon Musk for pulling that miracle off.

 

[Doug_G]

The thread had wandered into Karma -vs- Model S territory, so I moved that part of the conversation over there.

 

[doug]

According to some Swedish news, Volvo cars parent company Geely is winning the bid on Fisker right now but no figures mentioned.

From the articles I've read, Fisker would prefer Geely even if it's not the highest bid. They are said to be bidding between $200M and $300M for a majority stake (exact percentage not given). Dongfeng offered $350M for an 85% share. Either way, these are very low valuations for a company that had $1.2B of private capital and at one time a supposed valuation of $2.2B.

My guess is that Fisker prefers Geely because of the Volvo connection, and I think Fisker could really benefit from an association with the Volvo brand. Volvo's primary brand identity is one of safety and reliability which, after ~1% of Karmas caught fire (for whatever reason), would hopefully rub off on Fisker.

Volvo is sllloooowwwllllyyy ramping up production of the V60, a plug-in hybrid. So perhaps Fisker could benefit from Volvo engineering, an area where they are lacking.

Plus, Volvo is Swedish, Henrik is from Denmark, and Karmas were made in Finland, so they have that Scandinavian/Nordic connection.

 

[zack]

Fisker Twitter account hacked by diet aficionados - SlashGear

 

[doug]

Henrik Fisker quits Fisker Automotive

Founder of Fisker Automotive resigns, cites 'major disagreements' - Reuters

Henrik Fisker quits Fisker Automotive | Autocar

In a statement sent to Autocar, former chairman Fisker said: “Effective as of Wednesday 13 March 2013, Henrik Fisker has resigned from Fisker Automotive as executive chairman, and has left the company.

“The main reasons for his resignation are several major disagreements that Henrik Fisker has with the Fisker Automotive executive management on the business strategy.”

 

[Raffy.Roma]

How is it possible that Henrik quits and Fisker Automotive still exists?

 

[yobigd20]

Another link: http://www.forbes.com/sites/afontev...es-loan-and-reported-talks-with-chinas-geely/

 

[dsm363]

That pretty much has to be it for the company as we know it at least. Buyout seems likely now.

 

[rolosrevenge]

Looks like Henrik got the boot. http://www.latimes.com/business/autos/la-fi-hy-henrik-fisker-resigns-20130313,0,5030297.story

 

[Zzzz...]

QUOTE:“Given the confidential nature of this matter, at this point in our process we can only confirm that the company has received detailed proposals from multiple parties in different continents which are now being evaluated by the company and its advisors,” read the official Fisker statement.

I guess that was disagreement as to whom they should sell the company and on what terms. Fisker departure might lower interest in buying the company, I mean it is a Fisker Automotive after all.

 

[AnOutsider]

I guess that was disagreement as to whom they should sell the company and on what terms. Fisker departure might lower interest in buying the company, I mean it is a Fisker Automotive after all.

Yeah, but what did he contribute beside name and design? For that, he can return to freelancing for other OEMs and leave the real engineering to others.

 

[Zythryn]

Looks like Henrik got the boot. http://www.latimes.com/business/autos/la-fi-hy-henrik-fisker-resigns-20130313,0,5030297.story

Didn't Elon mention that a part of the requirements for the loan Tesla received was that he remain as CEO until the loan was paid off?

 

[rolosrevenge]

The only thing Fisker had going for them was their design, now they've lost the designer, what do they have left?

 

[stopcrazypp]

The only thing Fisker had going for them was their design, now they've lost the designer, what do they have left?

With the ELR coming out they are pretty much dead (they are lucky the ELR doesn't have 4 doors).

 

[AnOutsider]

Didn't Elon mention that a part of the requirements for the loan Tesla received was that he remain as CEO until the loan was paid off?

Not sure that would make much diff here even if Fisker had the same terms. their loan is already on hold.

 

[Matthew049]

bwahahahhahahahahahahaahhaha!!!!!!!!!!!!!!!!!!!!!!!!!
probably only elon is laughing more than me..

 

[Zzzz...]

Not sure that would make much diff here even if Fisker had the same terms. their loan is already on hold.

I believe loan terms for Musk is to have certain percentage of Tesla shares. So Musk could not sell his part before loan is repaid. But there is nothing about him being or not being CEO.

But I agree with Outsider, it doesn't make much difference in Fisker situation.

 

[dsm363]

Maybe Elon will be right in the end about that venture Capitol firm backing Fisker and not Tesla.
Hopefully Fisker can pull through somehow and repay the loan.

 

[VolkerP]

Inappropriate. Tesla ousted Martin Eberhard during a phase when they struggled to bring their first car into production. Very similar situation with Fisker here IMO.

 

[bonnie]

As much as I dislike the Fisker design (both style and drivetrain), Fisker going out of business hurts all of us. The general public does not know the difference between EVs and EVERs - they only hear that Fisker has a gov't loan and so does Solyndra and so does Tesla and and and.

The best possible outcome is for Fisker to survive, pay off their loan, and deliver cars to people who like that kind of style.

(But yeah, okay, it is a fascinating story to watch play out.)