EV Maker Fisker Piles Up Cash Via Debt Offering With Eyes On Expansion

Electric Vehicle maker Fisker Inc FSR is planning to offer $170 million in aggregate principal amount of 0% senior unsecured convertible notes due 2025 to an existing institutional investor.

The notes will have an original issue discount of approximately 12%, resulting in gross proceeds of $150 million to Fisker.

The notes are being sold pursuant to a previously announced Securities Purchase Agreement, dated July 10, 2023, between the company and the investor.

As a result of the purchase agreement amendment, Fisker may now offer up to an additional $623.3 million in aggregate principal amount of 0% senior unsecured convertible notes.

The notes will have an original issue discount of approximately 12%, resulting in additional gross proceeds of up to $550 million to Fisker.

The new investment round follows a previously announced convertible notes offering of $340 million in July 2023 by Fisker to the investor.

Fisker expects the capital to enable it to accelerate deliveries, expand growth, and expedite vehicle programs.

Also Read: Fisker's Electric Surge: Aiming For A Whopping 300 Daily Deliveries In US And Europe

Price Action: FSR shares are trading higher by 1.17% at $6.47 on the last check Friday.

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