Wanxiang lifts cash bid to win Fisker asset sale

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Associated Press

Posted on February 14, 2014 at 6:05 PM

Updated Friday, Feb 14 at 10:07 PM

DOVER, Del. (AP) — Participants in a bankruptcy auction for failed electric-vehicle maker Fisker Automotive say Chinese auto-parts conglomerate Wanxiang Group quadrupled the cash portion of its bid to $149 million to win the auction.

Two people who took part in the auction said Friday that Wanxiang beat out Hybrid Technology, led by Hong Kong billionaire Richard Li. The auction participants spoke on condition of anonymity because an official statement has not yet been released.

Going into the auction, which began Wednesday, Hybrid offered $30 million in cash and cancellation of $25 million in debt it says it is owed as Fisker's senior secured lender. Wanxiang had offered $35.7 million in cash and an equity stake for creditors in a reorganized Fisker, with the possibility of additional recoveries for creditors through lawsuits.

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