Fisker, the electric vehicle start-up company, has seen its share price rally by more than 20% on Wednesday, after announcing a manufacturing deal with Foxxconn Technology Group— the company best known for assembling Apple’s iPhones.
According to a joint announcement made by Fisker and the Taiwan-based electronics manufacturer Foxxconn on Wednesday, the two companies have entered into a memorandum of understanding that will produce over 250,000 electric vehicles per year for Fisker. Vehicle assembly is expected to commence sometime in the fourth quarter of 2023, but company officials remained vague about the planned EV, only noting that it will be for a “new segment vehicle.”
“We will create a vehicle that crosses social borders, while offering a combination of advanced technology, desirable design, innovation and value for money, whilst delivering on our commitment to create the world’s most sustainable vehicles,” revealed Fisker CEO Henrik Fisker. The deal, which the companies have decided to name “Project PEAR” (Personal Electric Automotive Revolution) is anticipated to close in the second quarter of 2021.
This is the second major manufacturing deal for Fisker, which back in January announced a deal with Canadian-based auto supplier Magna to produce Fisker’s first vehicle, called the Fisker Ocean. Magna and Fisker are expected to commence production on the Ocean sometime in the fourth quarter of next year, with Magna initially manufacturing Fisker’s first EV only in Europe.
Information for this briefing was found via Fisker and Foxxconn Technology Group. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.