Published on February 18th, 2013 | by Christopher DeMorro4
Fisker May Sell 85% Stake To Chinese Car Company
2012 was not a good year for Fisker Automotive, and the beleaguered green automaker may turn to Red China for salvation. After shopping around for some Sino investors, Fisker may have found what its looking for in Chinese automaker Dongfeng. Dongfeng may purchase an 85% stake in Fisker for around $350 million, rumor has it.
If true, then it is not entirely unlikely that production of the Fisker Karma could move to China, bypassing the proposed former GM plant in Delaware entirely. While that will surely anger politicians who provided Fisker with local tax breaks and hundreds of millions in low-interest government loans, Fisker is pretty much on the ropes right now. Unless the company gets turned around, and fast, there isn’t much hope for recovering any of the money it was loaned.
Moving to China could be Fisker’s best move yet. Battery supplier A123 Systems was recently purchased by another Chinese company, Wanxiang, and the low cost of production in China could give Fisker’s cars a broader appeal. That’s all assuming the deal goes through of course.
This bout of good news for Fisker seems to be shining a better light on the struggling green car maker. But will the good news last? Will the world ever see the promised Fisker Atlantic? Or will the company merely be absorbed by another Chinese corporate giant?
Source: The Truth About Cars