Fisker Assets to Be Sold at Bankruptcy Auction

Assets of Fisker Automotive Inc., the bankrupt maker of hybrid cars, will be sold at auction after a judge limited the amount of debt that lender Hybrid Tech Holdings LLC can trade for the company.

Hybrid can put only $25 million of the $168.5 million Fisker owes it toward an acquisition, U.S. Bankruptcy Judge Kevin Gross said today at a hearing in Wilmington, Delaware. Offering to forgive a company’s debt, instead of paying cash, at a bankruptcy auction is known as credit bidding.