Fisker (NYSE:FSR) stock is moving on Monday after the electric vehicle (EV) company announced that it has secured an additional $150 million in funding.
According to a press release from Fisker, the company’s new funding comes from the holder of its 2025-dated convertible notes. It’s also worth noting that this funding is being split into four tranches.
Fisker also mentions that this funding is only available if it meets certain conditions. Chief among these is the filing of the company’s Form 10-K for 2023.
Investors will keep in mind that Fisker still has inventory from 2023 on hand. Combined with what has been produced in 2024, it has an excess inventory of over $200 million. The company is pausing production for six weeks starting today to align its inventory.
It’s also worth mentioning that Fisker is still in talks with a large automaker for an investment. This has it hoping for funding to develop an EV platform with the manufacturer.
How This Affects FSR Stock Today
Despite news of the additional financing, shares of FSR stock are still falling on Monday. This has the stock down 12% this morning.
That drop for FSR stock comes alongside some 136 million shares changing hands. That’s a massive surge in trading volume compared to the company’s average of about 67 million shares.
Investors searching for more of the latest stock market stories are in luck!
We have all of the hottest stock market news ready to go on Monday! A few examples include what has shares of Nio (NYSE:NIO), Xpeng (NASDAQ:XPEV) and Ensysce Biosciences (NASDAQ:ENSC) stock moving today. All of that information is ready to go at the links below!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
