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Report: Electric-Car Maker Fisker Could Soon Go Public, Following Nikola's Lead

By John Rosevear – Jul 9, 2020 at 4:20PM

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A deal to take Fisker public could be announced next week, says Reuters.

Electric-vehicle maker Fisker is in discussions to go public via a reverse merger with a special-purpose acquisition company, or SPAC, in a deal that would be modeled on the successful public-market debut of electric-truck start-up Nikola (NKLA) last month, according to a new report.

Reuters reports on Thursday that several SPACs, led by Spartan Energy Acquisition (SPAQ) are bidding for Fisker. A deal in the range of $2 billion could be struck as early as next week, according to the report, which cited multiple "people familiar with the matter." 

Nikola's shares have risen more than 70% since its merger with the SPAC VectoIQ Acquisition was finalized in early June. The success of that merger set off a flurry of deals, with rival electric-truck maker Hyliion and self-driving vehicle technology company Velodyne Lidar agreeing to merge with the SPACs Tortoise Acquisition (SHLL) and Graf Industrial (GRAF), respectively. 

Shares of both Tortoise and Graf have rallied since those deals were announced.

Los Angeles-based Fisker has developed an electric luxury SUV called the Ocean, which it hopes to put into production in 2022 at a starting price of about $37,500. The company said on Wednesday that it had completed a $50 million Series C financing round funded by Moore Strategic Ventures. Fisker plans to use the funds to continue engineering work on the Ocean, but it will need additional funding to put the vehicle into production. 

A prototype Fisker Ocean, an upscale 5-passenger SUV.

Fisker hopes to put its electric SUV, the Ocean, into production in two years. Image source: Fisker, Inc.

Fisker is the second electric-company founded by former Aston Martin designer Henrik Fisker. The first, originally called Fisker Automotive, was purchased by Chinese auto-parts conglomerate Wanxiang Group in 2014 and renamed Karma Automotive. 

Shares of Spartan Energy were trading about 32% higher as of mid-afternoon on Thursday.

John Rosevear has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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Stocks Mentioned

Spartan Energy Acquisition Corp. Stock Quote
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Nikola Corporation
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