Fisker Slashes Prices As Insolvency Nears

Fisker, the California-based electric vehicle startup, has announced drastic price cuts for its 2023 Ocean electric SUV lineup

The entry-level front-wheel-drive Sport model saw its starting price plummet by $14,000, now starting at $27,734. The mid-tier Ultra trim level received an $18,000 price reduction, with a new base price of $37,437. Most significantly, the top-of-the-line Extreme witnessed a staggering $24,000 discount, dropping its starting price to $39,937.

These reduced prices apply to 2023 models equipped with Fisker’s new 2024 Ocean OS 2.0 software and will take effect this Friday, March 29th. The company said that the move aims to position the Ocean as a more affordable and compelling electric vehicle choice for buyers.

However, the timing of these dramatic price cuts is no coincidence, as Fisker grapples with imminent bankruptcy. The company has also been delisted from the NYSE as of Monday.

In February, Fisker’s financial troubles became apparent after a dismal earnings call and subsequent mass layoffs. Production was halted for six weeks starting March 18th as the company sought a solution.

Despite securing up to $150 million in new financing, talks with a potential automaker partner have collapsed, exacerbating Fisker’s precarious situation.

Information for this story was found via Bloomberg, Reuters, Car and Driver, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply