Faraday Future Founder and Co-CEO YT Jia Makes Second Stock Purchase Under 10b5-1 Plan, Underscoring Confidence in the Company’s Long-Term Strategy

Rhea-AI Summary

Faraday Future (NASDAQ: FFAI) announced that Founder and Global Co-CEO YT Jia has made his second stock purchase of approximately $180,000 under his Rule 10b5-1 trading plan. This purchase is part of Jia's planned total investment of $560,000, representing the after-tax portion of his $1.2 million signing bonus.

The company is preparing for a Special Meeting of Stockholders on September 19, 2025, seeking approval for several key proposals including increasing authorized shares, company name change, and amending the 2021 Stock Incentive Plan. The amendment would add 9.5 million shares to the equity incentive reserve, bringing the total to approximately 7% of current authorized shares.

Positive

• CEO demonstrates confidence by reinvesting $560,000 of signing bonus into company stock
• Proposed equity incentive plan expansion from 1.5% to 7% of outstanding shares to attract and retain talent
• Strategic implementation of Dual-Flywheel & Dual-Bridge Strategy for growth

Negative

• Company requires shareholder approval for additional share authorization indicating potential dilution
• Current equity incentive plan represents only 1.5% of outstanding stock, significantly below industry standards
• Need for substantial increase in equity compensation suggests cash conservation concerns

News Market Reaction

-8.61%

4 alerts

-8.61% News Effect

-$27M Valuation Impact

$282M Market Cap

0.9x Rel. Volume

On the day this news was published, FFAI declined 8.61%, reflecting a notable negative market reaction. Our momentum scanner triggered 4 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $27M from the company's valuation, bringing the market cap to $282M at that time.

Data tracked by StockTitan Argus on the day of publication.

• The Company also urges all stockholders to vote FOR all proposals for the FF Special Meeting of Stockholders occurring on September 19.

LOS ANGELES, Sept. 03, 2025 (GLOBE NEWSWIRE) -- Faraday Future Intelligent Electric Inc. (NASDAQ: FFAI) (“Faraday Future”, “FF” or “Company”), a California-based global shared intelligent electric mobility ecosystem company, today announced that FF Founder and Global Co-CEO YT Jia purchased approximately $180,000 of FF common stock on September 2, 2025, which is his second purchase of the Company’s common stock pursuant to his previously adopted Rule 10b5-1 trading plan. The remainder of YT Jia’s purchases are scheduled to occur next week.

As previously disclosed, Mr. Jia intends to purchase a total of approximately $560,000 worth of FF common stock (including commission fees), representing the after-tax portion of his $1.2 million signing bonus in connection with his appointment as Global Co-CEO.

“My decision to reinvest my signing bonus into FF reflects my deep confidence in our long-term strategy and commitment to creating value for our stockholders,” said Jia. “I believe our Dual-Flywheel & Dual-Bridge Strategy will drive transformative growth, and I want to be fully aligned with our stockholders as we execute on this vision.”

Stockholder Vote Solicitation

The Company previously announced that it will hold a Special Meeting of Stockholders on September 19, 2025, to seek approval for proposals aimed at supporting the Company’s strategic initiatives and long-term growth. Key proposals include an increase in authorized shares, a change in the Company’s name, an approval of the issuance of Common Stock to holders of certain convertible notes and warrants and an amendment to the Company’s Amended and Restated 2021 Stock Incentive Plan (the “2021 Plan”). The Company urges all stockholders to vote FOR all proposals.

Particularly, the 2021 Plan amendment proposal would enable the Company to continue offering long-term equity incentives as a competitive alternative to cash compensation. This helps attract, motivate, and retain top talent, while driving strategic execution and delivering long-term stockholder value.

The authorized shares under the Company’s 2021 Plan currently represent only about 1.5% of the Company’s outstanding common stock, which is significantly below industry levels. Therefore, at this stockholder meeting, the Company is seeking approval to add 9,500,000 shares of common stock to the equity incentive reserve. Even with this increase, the total number of shares reserved for equity incentives would represent nearly 7% of the Company’s current total authorized shares, or nearly 5% of the Company’s total authorized shares if the proposed share increase authorization is approved.

ABOUT FARADAY FUTURE
Faraday Future is a California-based global shared intelligent electric mobility ecosystem company. Founded in 2014, the Company’s mission is to disrupt the automotive industry by creating a user-centric, technology-first, and smart driving experience. Faraday Future’s flagship model, the FF91, exemplifies its vision for luxury, innovation, and performance. The new FX strategy aims to introduce mass production models equipped with state-of-the-art luxury technology similar to the FF 91, targeting a broader market with middle-to-low price range offerings. For more information, please visit https://www.ff.com/us/

CONTACTS 
Investors (English): ir@faradayfuture.com 
Investors (Chinese): cn-ir@faradayfuture.com 
Media: john.schilling@ff.com 

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/41723857-ac4e-4594-8d5c-d3fdc336d0c4

FAQ

How much stock did Faraday Future (FFAI) CEO YT Jia purchase in September 2025?

YT Jia purchased approximately $180,000 of FF common stock on September 2, 2025, as part of his planned total investment of $560,000 from his signing bonus.

What proposals will FFAI shareholders vote on at the September 19, 2025 Special Meeting?

Shareholders will vote on proposals including increasing authorized shares, changing the company name, approving common stock issuance for convertible notes holders, and amending the 2021 Stock Incentive Plan.

How many additional shares is Faraday Future requesting for its 2021 Stock Incentive Plan?

Faraday Future is seeking approval to add 9.5 million shares to the equity incentive reserve, which would increase the total from 1.5% to approximately 7% of current authorized shares.

What is the purpose of FFAI's proposed equity incentive plan expansion?

The expansion aims to help attract, motivate, and retain top talent by offering long-term equity incentives as a competitive alternative to cash compensation, while driving strategic execution and stockholder value.

When will YT Jia complete his remaining stock purchases at Faraday Future?

The remainder of YT Jia's stock purchases are scheduled to occur in the week following September 2, 2025.