Fisker Automotive plans to raise $150 million before launching production for its second model.
Until now Fisker has launched the $100,000-plus Karma hybrid sports car, and plans to add a second model. But firstly the automaker plans to raise $150 million in additional funds. Until now the company has raised over $1 billion since its founding in 2007, but unfortunately the government denied its acces to a $529-million loan.
“We need money on our balance sheet” to fund operating expenses, said Ray Lane, a Fisker director and a managing partner at venture firm Kleiner Perkins Caufield & Byers. “And we need money to fund the development of the next car.”
Over the past 12 months Fisker has raised over $400 million in venture funds, but needs $150 million more to reach breakeven. In 2009 the company received a U.S. Department of Energy loan, part of the government’s plan to promote green technology and add US jobs, and the automaker’s A123 Systems battery supplier got a $249-million loan. But the two companies were denied further access to funds due to a delay in the development of the second hybrid model and other financial and quality setbacks.