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Wanxiang-VL Offer For Fisker Reported To Be Just $20 Million

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2012 Fisker Karma

2012 Fisker Karma

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Yesterday we reported that two companies, VL Automotive and China's Wanxiang Group, had put in a bid for struggling automaker Fisker Automotive.

It's now become clear just how little the ailing plug-in carmaker is worth to investors and buyers, with Reuters revealing the VL and Wanxiang bid totalled just $20 million.

Sources close to the company confirmed that the $20 million bid had been made--just a fraction of the company's estimated worth just over one year ago.

During the launch of Fisker's first product, the luxury Karma sedan, it was valued at around $2 billion.

It's a sign of how far Fisker has fallen, following a litany of issues in the past twelve months--from poor reviews and quality issues, to stalled production, fires, the destruction of over 300 Karmas at a superstorm Sandy-ravaged port, and its insurance company's subsequent refusal to pay out.

The $20 million joint bid comes from two companies already holding links to Fisker.

The first, Bob Lutz-backed VL Automotive, revealed plans earlier this year for the 'Destino'--essentially a Karma with the plug-in drivetrain ditched in favor of a GM-sourced supercharged V-8.

The other, Wanxiang Group, bought out Fisker's battery supplier A123 Systems when it went bankrupt last year.

Anonymous sources also report that another team of investors is also still interested in the company.

What would you like to see happen with Fisker? Leave your thoughts in the comments section below.

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Comments (6)
  1. When Lutz said that he would help bid to buy Fisker just so that the Destino can be made, I'd actually rather see Fisker die off respectably. It was sad seeing how an odd and unheard of car (as much as the Renault Avantime) would have it's heart, its drivetrain gutted out for a V8 and the facia of the car ruined.

    Yet, fortunately now that Wanxian is at least bidding for Fisker, it's likely the Karma and its drivetrain would continue to be produced. Though its drivetrain should go through a well thought out refurbish.
     
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  2. I could scrape together a few hundred bucks, will they take that?
     
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  3. I wonder if they would be assuming the $192 million dollar debt to be repayed to the DoE? If so, that greatly changes the real amount of the offer.

    Sometimes, sources hold tidbits of information like that back to boost the shock value of an article and possibly create interest in a follow-up article.
     
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  4. So that would be less than 2% of the money that went into it.

    It's incredible that Fisker managed to spend the sort of cash it did on a company with no production facilities of its own and no intellectual property to speak off. Sounds like a lot of opportunists had one heck of a feeding frenzy on the cash Fisker managed to raise.

    That also answers the question about what should become of Fisker: it doesn't really matter because there was mostly nothing there to begin with.
     
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  5. Exactly... If they're on the hook to repay the loan then 20 mil is probably already too much...
     
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  6. Debts are discharged in company bankruptcies, so I wouldn't think they still owe the DoE. They might pay off something for good will, but usually it's cents on the dollar.

    Why all the hostility here? It's a fine-looking car, and if they can make A123 batteries work in it, all the better. Tech leaders usually fail, actually, but good stuff can often be saved from the wreckage.
     
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