Fisker Seeking $200M In Private Funding
Left Lane News
August 25, 2011
by Nat Shirley
Cash is a necessary weapon for any new automaker facing the uphill battle of wrenching market share away from the multitude of established companies in the largely stagnant American auto market. So, it stands to reason that tiny Fisker Motors is preparing a new round of financing as initiates sales of its first product.
Fisker has launched a round of private financing geared towards raising $200 million, according to a report in Fortune Magazine. The effort comes at a time when the California-based company is introducing its long-awaited Karma plug-in hybrid luxury sedan to the market, which was initially slated to enter production in late 2009.
The extra capitol will likely help Fisker with necessary tasks like developing its dealer network and starting a marketing campaign, although Fortune suggested the financing may also be designed to raise the automaker’s market value ahead of a public stock offering. The new financing round, the latest in a series that has already raised $290 million, would raise Fisker value to $2.2 billion and could be billed as a “pre-IPO” round to investors.