Fisker Gets $100 Million Cash Infusion to Fund New Model

Fisker Automotive Inc. says it has raised more than $100 million in fresh capital from unidentified private investors to finance daily operations and development of its Atlantic extended-range hybrid midsize sedan.

The Anaheim, Calif.-based startup declared last month that it aimed to raise $150 million and might new additional capital next year. Fisker has now raised more than $1.2 billion since it was founded in 2007.

The cash-strapped company has postponed the introduction of the $50,000-$60,000 Atlantic. The car was originally slated to go into production this summer at a former General Motors Co. assembly plant in Wilmington, Del.

The project was halted in February when the U.S. Dept. of Energy froze Fisker's $529 million loan because the company missed sales and development deadlines. Fisker warned in April that unless it can negotiate a revised agreement with the DOE, the Atlantic might be built overseas.

CEO Tony Posawatz the company's third chief executive this year says Fisker will announce production plans and a timeline for the Atlantic by December.

The company's first model, the $107,900 Karma plug-in sedan, continues to struggle. The car has experienced a series of quality problems and been recalled three times since it debut last December. Consumer Reports panned the Karma in a review this week.