Fisker Asks Bankruptcy Court To Let It Sell Thousands Of Ocean EVs At Fraction Of Original Price

Fisker is seeking the approval of the Delaware bankruptcy court judge to sell 3,321 Ocean electric SUVs in its inventory at a significantly reduced price of around $14,000 per vehicle.

What Happened: Fisker, which filed for bankruptcy protection in June, is looking for approvals to sell 3,321 Ocean SUVs to New York-based American Lease for an aggregate of $46.25 million, not including delivery charges. It would mean that the company would be selling each Ocean SUV at just around $14,000 if given the nod.

The price point of $14,000 is significantly lower than the vehicle’s current price as listed on the company website. According to Fisker, the cheaper Ocean variant called Sport starts at around $39,000 with the more premium two variants starting at about $53,000 and $61,500, respectively.

American Lease initially agreed to purchase just 2,100 EVs before Fisker filed for bankruptcy but later bumped the number up to purchase Fisker’s entire inventory of 3,321 Ocean vehicles, the EV maker said in a court filing. American Lease is a vehicle leasing company that serves the ride-share community in and around New York City.

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Why It Matters: Fisker filed for Chapter 11 bankruptcy and listed estimated assets in the range of $500 million to $1 billion and liabilities in the $100 million to $500 million range last month after potential investment talks with a major automaker collapsed in March. Its sole EV offering, the Ocean SUV, has been plagued by safety concerns and recalls.

Fisker said in early June that it is recalling 18,000 of its Ocean SUV vehicles in North America as well as Europe over software issues and non-compliance with safety standards.

In late June, Fisker again issued a recall of 12,523 Ocean vehicles in the U.S., Canada, and Europe citing concerns that their outer door handles may stick, preventing customers from entering or exiting the car.

NHTSA is currently investigating multiple issues with the Ocean SUVs including concerns of unintended activation of its automatic emergency braking system.

Photo courtesy: Fisker

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.