Bloom Energy And Fisker Automotive Case Study
MBA 6400-Economic & Financial Environment of Business
Bloom Energy & Fisker Automotive
Armah Q. Fahnbulleh
Wilmington University
June 11, 2013
Abstract:
During the course of my research, I found out that these are two companies with very good ideas from the start. However, they both have different ideas about how they will go about meeting their objectives as far as providing energy products for the consuming public. Bloom Energy wants to change the way energy is generated and consumed. On the other hand, Fisker wants to produce fuel efficient cars that will make the public less dependable on gasoline power cars …show more content…
However, both companies continued to raise money from private equity firms and venture capitalist. Bloom Energy has raised massive amount of money to support its business of building solid oxide fuel cells that run on natural gas or biogas to generate electricity. The company recently raised a series G round of $ 150 million to bring its total venture capital investment to about $ 800 million according to fortune. Also in 2010, Bloom received $218.5 million in SGIP subsidies, nearly two thirds of the total given out by the program that year. Fortune recently reported that the company posted $42 million of pro forma revenue and $61 million of pro forma operating income for Q1 2013. These figures are lower than Bloom’s results for both Q3 and Q4 2012. Even though Bloom reported negative $1.03 billion in retained earnings compared to a negative $873 million mark through Q3 2012, to date the company has raised more than 4 1.1 billion in venture capital funding. Investors believed that better days are ahead for Bloom energy. Fisker on the other hand received $192 million of the full $529 million from the Department of Energy loan. Recently, the DOE seized $21 million from Fisker’s account to help repay portion of the loan. With the DOE pulling back, investors are also pulling back from
Bloom Energy & Fisker Automotive
Armah Q. Fahnbulleh
Wilmington University
June 11, 2013
Abstract:
During the course of my research, I found out that these are two companies with very good ideas from the start. However, they both have different ideas about how they will go about meeting their objectives as far as providing energy products for the consuming public. Bloom Energy wants to change the way energy is generated and consumed. On the other hand, Fisker wants to produce fuel efficient cars that will make the public less dependable on gasoline power cars …show more content…
However, both companies continued to raise money from private equity firms and venture capitalist. Bloom Energy has raised massive amount of money to support its business of building solid oxide fuel cells that run on natural gas or biogas to generate electricity. The company recently raised a series G round of $ 150 million to bring its total venture capital investment to about $ 800 million according to fortune. Also in 2010, Bloom received $218.5 million in SGIP subsidies, nearly two thirds of the total given out by the program that year. Fortune recently reported that the company posted $42 million of pro forma revenue and $61 million of pro forma operating income for Q1 2013. These figures are lower than Bloom’s results for both Q3 and Q4 2012. Even though Bloom reported negative $1.03 billion in retained earnings compared to a negative $873 million mark through Q3 2012, to date the company has raised more than 4 1.1 billion in venture capital funding. Investors believed that better days are ahead for Bloom energy. Fisker on the other hand received $192 million of the full $529 million from the Department of Energy loan. Recently, the DOE seized $21 million from Fisker’s account to help repay portion of the loan. With the DOE pulling back, investors are also pulling back from