Electric vehicle (EV) maker Fisker Inc. (NYSE: FSR) announced Wednesday that it had signed a memorandum of understanding with Hon Hai Technology Group, better known as Foxconn, under which the Taiwan-based manufacturing firm will manufacture a jointly developed vehicle sold under the Fisker brand.
Fisker came public in late October as a result of a reverse merger with a blank-check company affiliated with Apollo Management. At the time of the IPO, Fisker also announced a manufacturing agreement with Magna Steyr to build the company’s first vehicle, the Ocean, that would go on sale in late 2022 for a retail price of around $37,500.
The agreement with Foxconn offers some details of a “breakthrough electric vehicle” that is projected to begin production in late 2023. The announcement included a design sketch that Fisker founder and CEO Henrik Fisker said “hints at the direction we are taking. However, with the level of innovation planned for this vehicle, I intend to keep the final design a surprise until the last possible moment!”
Foxconn Technology Group Chairperson Young-way Liu commented: “The collaboration between our firms means that it will only take 24 months to produce the next Fisker vehicle – from research and development to production, reducing half of the traditional time required to bring a new vehicle to market.” Foxconn is the primary assembler of Apple’s iPhones.
Fisker’s first EV, the Ocean, has attracted more than 12,000 paid reservations, and the company said it plans to reveal a “production-intent prototype” later this year.
Fisker was one of some half-dozen EV makers to come public last year. The shares reached a peak of $23.63 in late November and had drifted downward to close at $16.29 on Tuesday. In Wednesday’s premarket session, the stock traded up more than 25% at $20.30. The 52-week low is $8.70.
The announcement comes one day after another EV maker, Lucid Motors, announced a business combination that is expected to bring it to the public markets in the second quarter of this year in a deal that values the company at around $11.75 billion.
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
