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EV maker Fisker is temporarily halting production amid possible bankruptcy

The company said the manufacturing pause will last for six weeks

Fisker, a U.S.-based automotive company, is reportedly preparing to file for bankruptcy and has halted production of its vehicles for the next six weeks.

The electric vehicle (EV) maker says it will raise $150 million USD (roughly $203 million CAD) in funding by selling convertible notes as it navigates its ongoing cash issues and overall weak demand for its cars, according to The Wall Street Journal.

This news comes as EV sales in Canada and the U.S. are projected to slow in the coming years, but that’s not the biggest issue for Fisker.

Canadian manufacturer Magna originally supplied parts to the automaker before Fisher chose to end the partnership. The issues with the EV maker’s Ocean model sparked nearly 5,000 customer complaints and lawsuits against the company, including problems related to hoods flying open, glitchy fobs, and brake issues.

According to a Reuters report, Fisker has agreed to partner with Japanese automaker Nissan in an effort to overcome its cash flow issues, but the deal is reportedly far from being completed.

Henrik Fisker, owner of Fisker, previously worked as design director at BMW, Ford, and Aston Martin. The company’s first vehicle was the Karma, a luxury EV that suffered from several major issues, including significant fire risks.

In other EV-related news, Rivian owners can now use Tesla Superchargers as long they have an adapter.

Source: The Wall Street Journal Via: Wired

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