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LOS ANGELES, 30 September 2023: Fisker Inc, a pioneer in emotional and sustainable electric vehicles, has taken a significant step forward in its mission. The company has announced its intention to offer USD 170m in convertible notes to an existing institutional investor, with an original issue discount of approximately 12%. This move will result in gross proceeds of USD 150m, supporting its vision for the future of electric mobility.
Additional Capital for Sustainable Growth
Fisker’s commitment to sustainability and innovation is underscored by its latest funding announcement. The company is set to offer USD 150m in 0% senior unsecured convertible notes due in 2025 to an existing institutional investor. This strategic move will further fuel its mission to create the world’s most emotionally compelling and sustainable electric vehicles.
Expanding Investment Potential
The Notes are being issued in accordance with a previously disclosed Securities Purchase Agreement, initially dated July 10, 2023, and subsequently amended on September 29, 2023. This agreement enables Fisker to offer an additional USD 550m in convertible notes under the Securities Purchase Agreement, thanks to the Purchase Agreement Amendment. These notes, like the initial offering, will carry an original issue discount of around 12%.
Building on Previous Success
This latest round of investment follows a convertible notes offering in July 2023, where Fisker raised USD 340m in aggregate principal amount from the same institutional investor. These funds have allowed the company to continue its growth trajectory.
Accelerating Progress
The influx of capital will empower Fisker to expedite deliveries, expand its growth initiatives, and fast-track vehicle development programs. The company’s dedication to creating electric vehicles that resonate emotionally with consumers while being environmentally conscious remains unwavering.
Supporting Partners
Fisker’s strategic moves have been complemented by key partners. TD Cowen has served as the financial advisor to Fisker in this transaction, while Orrick, Herrington & Sutcliffe LLP has provided legal counsel.
Delivering on Promises
Fisker has made significant strides in delivering its first vehicle, the all-electric Fisker Ocean SUV, to customers in both the United States and Europe this year. This achievement follows a successful production launch in November 2022. In August, the company unveiled its future product lineup, including the Fisker PEAR crossover, Fisker Alaska pickup truck, Fisker Ronin super GT convertible, and the Fisker Force-E offroad package for the Ocean SUV.
Conclusion
Fisker’s latest capital injection of USD 150m, with the potential for more, is a testament to the company’s commitment to sustainable electric mobility. It not only fuels Fisker’s growth but also accelerates its vehicle programs. As the automotive industry undergoes a transformative shift toward electric vehicles, Fisker is well-positioned to make a lasting impact, creating vehicles that resonate with consumers on an emotional level and contributing to a more sustainable future.
