LORDSTOWN — Fisker Inc.’s project PEAR, the second battery-powered auto from the California-based electric-vehicle manufacturer, “is in full speed” with production still planned in Lordstown.

That’s according to Henrik Fisker, Fisker’s chairman and CEO, who told analysts on the company’s first-quarter financial results call the PEAR (Personal Electric Automotive Revolution) is on track to launch in 2024.

“There has been no change in our conversations or planning with Foxconn on producing the PEAR in Ohio,” Fisker said.

Foxconn is the Taiwanese technology and electronics assembler giant buying Lordstown Motor Corp.’s assembly plant. The companies had targeted April 30 to formalize the $230 million asset purchase agreement for the electric-vehicle startup’s 6.2 million-square-foot plant but extended the deadline to May 14.

Today, Lordstown Motors plans to update the public and its shareholders on that agreement and affiliate contract manufacturing and joint product agreements when it announces its first-quarter financials.

Geeta Gupta-Fisker, co-founder, chief financial officer and chief operating officer for Fisker, said Foxconn has “assured us the deal closure in on track.”

Foxconn already has a contract manufacturing agreement with Fisker, which is planning three versions of the PEAR, the second and third derivatives of which would launch in 2025 and 2026.

“Ultimately these three derivatives, we believe, will enable us to sell a million PEARs a year sometime in 2027, so fairly soon, and we think this is going to be a really important growth story of Fisker in the future globally,” Fisker said.

Not all 1 million would be manufactured in the U.S., Fisker said. The company is contemplating production in China, Europe and India, where a lower cost version of the PEAR could be made.

The plant in Lordstown has a production capacity of about 500,000 vehicles a year.

So far, Fisker has received more than 2,500 reservations for the PEAR since opening reservations in February. The company has not actively promoted the vehicle to the public.

Fisker said his company has “clear production priority” at the Lordstown facility and “will take definitely the vast majority of the volume at the plant.”

The asset purchase agreement between Lordstown Motors and Foxconn hinges on coming to terms on a contract manufacturing agreement for Lordstown Motors’ first vehicle, the Endurance pickup truck. That agreement is a condition of the factory sale being finalized.

The sides also agreed last year to pursue a joint product development agreement to co-design and develop future vehicles based on Foxconn’s mobility in harmony platform.

Lordstown Motors leadership has said that deal is vital for the company to raise millions more needed to launch the Endurance this year.

Limited production of the truck is expected to begin in September.

So far, Foxconn made downpayments of $100 million on Nov. 18; $50 million on Jan. 28; and $50 million on April 15. The balance is due at closing. It also made a $50 million equity investment into Lordstown Motors last September.

The transaction has cleared the Committee on Foreign Investment in the United States, which is part of the U.S. Treasury that reviews certain transactions involving foreign investment in the U.S. to determine their effect on national security.

If the the transactions are not finalized by Saturday, Lordstown Motors is obligated to repay the downpayments to Foxconn, unless the repayment deadline is extended.

Lordstown Motors has given Foxconn a first-priority security interest in substantially all of its assets to secure the repayment obligation and “does not currently have sufficient available cash to repay the down payments by the repayment deadline,” the release states.

According to a regulatory filing in February, Foxconn can foreclose on its liens on some or most of Lordstown Motors’ assets. Under that scenario, Lordstown Motors “would not likely be able to continue as a going concern or realize any value from our assets,” the filing states.

rselak@tribtoday.com