2023 Fisker Ocean One on 2040-cars

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Fisker Ronin actually a four-seat convertible

When Fisker Automotive released an image of its planned Ronin battery-electric vehicle, the closed roof, Karma vibes and non-specific press release led everyone to believe it was a four-door sedan targeting an array of impressive specs. Turns out the Ronin is a four-seat convertible, making at least one of those specs even more impressive if Fisker hits it. Instead of the "over 550 miles of range" in the initial release, Henrik Fisker clarified that the Ronin's shooting for 660 miles of range on the WLTP cycle. That would beat anything on sale today even after converting to EPA figures, but the Ronin isn't due for its first deliveries until 2024. We also expect that mileage figure is a top-up number only; in view of all the turbulent air created behind a convertible's windshield, top-down mileage may vary considerably.  Fisker's quote that he wants the Ronin to have "the world's longest range for a production EV, combined with extremely high levels of performance" and be "a showcase for our internal engineering, powertrain and software capabilities" still holds true. Last year, the company opened a development facility in the UK called Magic Works, run by David King, formerly in charge of special vehicles at Aston Martin. King's team is working on making a cabriolet boulevardier that also evokes "a proper British sports car." Special features will include "unique doors for better ingress and egress," necessary because of the lack of a B-pillar. That quote from the automaker boss leads us to suspect the Ronin is the evolution of the Fisker EMotion (pictured above; yes, that's how it's spelled) luxury sedan the company took to CES in 2018. Chop the top off the EMotion, anchor the rear doors in the rear fenders instead of the C-pillar, and voila, a Ronin. That's all just a guess, though. What's not a guess is that Magic Works is working on special features like a battery integrated into the vehicle structure, powering a three-motor drivetrain able to get the Ronin to 60 miles per hour in under three seconds. That sprint would take the same time Wiesmann predicts its two-door, two-seat Thunderball to hit the same mark.

EV startups are about to report another quarter of fierce cash burn

U.S. electric-vehicle startups are expected to report another quarter of dwindling cash reserves next week, piling pressure on a group of companies that are struggling to ramp up production and have few options for funding in a turbulent economy. Having gone public with hopes of shaking up the automobile industry, these companies have seen their market valuations evaporate in the past few months as EV demand slows and market leader Tesla Inc cuts prices to stoke orders. Lucid Group kicks off first-quarter earnings for the group on Monday, with the company expected to report a 36% sequential slide in cash reserves, according to Visible Alpha. Rivian Automotive, meanwhile, will likely report on Tuesday that its cash balance fell by 6.8% to $10.78 billion from the preceding quarter, per a Visible Alpha estimate. The Amazon.com Inc-backed firm, whose shares have declined by nearly a quarter this year, is also expected to report a larger loss of $1.75 billion as both deliveries and production fell in the period. It posted a $1.59 billion loss a year ago. Fisker Inc and Nikola, both of which report earnings on Tuesday, are expected to see their cash reserves decline by 5% and 15%, respectively, according to Visible Alpha. "Any company that's losing money with a low valuation is toast and EVs are no exception. I think it is just a slow bleed. Maybe they'll get lucky and some of their technologies maybe bought by bigger players," said Thomas Hayes, chairman of hedge fund Great Hill Capital. A drop in valuations of companies has rendered selling equity for precious cash more ineffective and investors are becoming increasingly unhappy with their stake being diluted as several startups are yet to recognize revenue from operations. British EV startup Arrival SA and Nikola have issued going-concern warnings in the past few months, with the former set to merge with blank-check firm Kensington Capital Acquisition Corp in a bid to raise cash. Lordstown Motors said this week it could be forced to file for bankruptcy due to uncertainty over a funding deal with major shareholder Foxconn. Its earnings in an unscheduled release on Thursday showed Lordstown's cash balance fell 11% sequentially. Some of the companies including Lucid and Rivian have also said they would not provide data on reservation numbers going forward, sparking some concern among investors. It is a "disturbing development," CFRA Research analyst Garrett Nelson said.

Fisker will borrow $5M from Wanxiang as interim solution

It may seem like a drop in the bucket compared to the approximately $1 billion in liabilities bankrupt automaker Fisker Automotive has against it, but every bit helps. In this case, it's a smidgeon less than $5 billion. That's how much the maker of the Karma extended-range plug-in is getting approved to borrow from its presumed future owner, Wanxiang Group. It's a start. A US bankruptcy court judge said Wanxiang could loan Fisker $4.98 million for interim financing purposes while the China-based company waits to get antitrust clearance from the US government to buy the now-dormant California-based company, Bloomberg News says. Fisker is seeking another $10.5 million in loans via a debtor-in-possession loan. After that, things get real interesting as everyone from the state of Delaware to General Motors to Finland's Valmet Automotive and more than 600 other entities have gotten in line to collect on what's alleged as $985.4 million in debt. Last month, Wanxiang won a bid against Hong Kong-based Hybrid Tech Holdings for Fisker, which hasn't made any Karmas since mid-2012. Wanxiang will pay $149.2 million, including $126.2 million in cash and $8 million in assumed liabilities, for Fisker. The automaker filed for bankruptcy last November and Wanxiang bounced the company back as the The New Fisker this week.