US court okays sale of Fisker to Wanxiang Group for $149mil

Article by Anita Panait, on February 20, 2014

United States Bankruptcy Judge Kevin Gross has approved the sale of assets of Fisker Automotive Holdings Inc. to Wanxiang Group Corp. for $149.2 million. The amount is nearly six times what Fisker sought when it filed for bankruptcy. The purchase still needs clearance under federal antitrust law. Gross said that the result of the auction “shows that a fair process is a good thing.”

Wanxiang beat Hybrid Tech Holdings LLC after 19 rounds of bidding by making an offer that entails $126.2 million in cash, plus equity and $8 million in assumed liabilities. Wanxiang’s offer also includes an abandoned GM factory in Wilmington that Fisker acquired in 2010.

After filing for bankruptcy in November 2013, Fisker had asked Gross to allow Hybrid to acquire its assets for around $25 million. Hybrid held a US government loan that Fisker had defaulted on without making a payment.

The selling price, however, received objections from Fisker’s unsecured creditors, who then helped bring Wanxiang into the matter in December. Wanxiang is also the owner of the successor to A123 Systems, the US battery maker that provides batteries to Fisker until its collapse due to the costs of a recall.

If you liked the article, share on:

Comments

Recommended

South Korean carmaker Kia will try to follow up the success of its Sportage compact sports utility vehicle by introducing a smaller SUV (subcompact) in the United Kingdom in the...
by - October 18, 2017
It can no longer be denied that Jaguar Land Rover wants to design some more hardcore type versions of their SUV range --- soon after launching the Discovery SVX only...
by - October 18, 2017
Motorists in the United Kingdom who intend to purchase the new 2018 Hyundai Kona subcompact sports utility vehicle could start placing their orders on November 2, 2017. Marked by Hyundai...
by - October 18, 2017
For many years, Lamborghini has always relied on the use of large and powerful engines including the V10 and the V12. In fact, the company’s very first engine in the...
by - October 17, 2017
You can now get the Opel Crossland X that’s LPG-powered if you are not a fan of diesel. Recently, the company released their version of the Peugeot 2008 equipped with...
by - October 17, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries