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Faraday Future Receives $30 Million of Previously Committed Financing

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Faraday Future (NASDAQ: FFIE) has received the full $30 million from previously announced financing commitments. The funding, from investors across the Middle East, United States, and Asia, was completed in two closings on September 12 and September 30, 2024. The proceeds will support FF 91 deliveries and supply chain restoration for the FF brand, while providing financial backing for the FX brand project. The company has also secured agreements with key suppliers to optimize cost efficiencies in developing its dual-brand strategy, targeting both luxury and mass AIEV markets.

Faraday Future (NASDAQ: FFIE) ha ricevuto l'intero finanziamento di 30 milioni di dollari dai precedentemente annunciati impegni finanziari. I fondi, provenienti da investitori del Medio Oriente, Stati Uniti e Asia, sono stati finalizzati in due chiusure il 12 e il 30 settembre 2024. I proventi sosterranno le consegne del FF 91 e il ripristino della catena di approvvigionamento per il marchio FF, fornendo al contempo supporto finanziario per il progetto del marchio FX. L'azienda ha anche assicurato accordi con fornitori chiave per ottimizzare le efficienze di costo nello sviluppo della sua strategia dual-brand, mirando sia al mercato di lusso che a quello di massa per i veicoli AIEV.

Faraday Future (NASDAQ: FFIE) ha recibido el financiamiento completo de 30 millones de dólares de los compromisos financieros previamente anunciados. La financiación, proveniente de inversores de Medio Oriente, Estados Unidos y Asia, se completó en dos cierres el 12 y el 30 de septiembre de 2024. Los fondos apoyarán las entregas del FF 91 y la restauración de la cadena de suministro para la marca FF, al tiempo que brindan respaldo financiero para el proyecto de la marca FX. La compañía también ha asegurado acuerdos con proveedores clave para optimizar las eficiencias de costos en el desarrollo de su estrategia de doble marca, enfocándose tanto en el mercado de lujo como en el de AIEV de masas.

파라데이 퓨처 (NASDAQ: FFIE)는 이전에 발표된 자금 지원 약속으로부터 전체 3천만 달러를 받았습니다. 이 자금은 중동, 미국, 아시아의 투자자들로부터 모집되었으며, 2024년 9월 12일과 30일 두 차례에 걸쳐 완료되었습니다. 이 자금은 FF 91 배달과 FF 브랜드의 공급망 복구를 지원하며, FX 브랜드 프로젝트에 대한 재정적 지원을 제공합니다. 회사는 또한 양 브랜드 전략을 개발하는 데 있어 비용 효율성을 최적화하기 위해 주요 공급업체와 합의를 확보했습니다. 이는 고급 및 대중 AIEV 시장을 모두 겨냥하고 있습니다.

Faraday Future (NASDAQ: FFIE) a reçu l'intégralité des 30 millions de dollars provenant des engagements de financement précédemment annoncés. Le financement, provenant d'investisseurs du Moyen-Orient, des États-Unis et d'Asie, a été finalisé en deux clôtures le 12 et le 30 septembre 2024. Les recettes soutiendront les livraisons du FF 91 et la restauration de la chaîne d'approvisionnement pour la marque FF, tout en fournissant un soutien financier pour le projet de la marque FX. L'entreprise a également conclu des accords avec des fournisseurs clés pour optimiser l'efficacité des coûts dans le développement de sa stratégie à double marque, visant tant le marché de luxe que le marché de masse des AIEV.

Faraday Future (NASDAQ: FFIE) hat die vollständigen 30 Millionen Dollar aus den zuvor angekündigten Finanzierungszusagen erhalten. Die Finanzierung, die von Investoren aus dem Nahen Osten, den Vereinigten Staaten und Asien stammt, wurde in zwei Abschlüssen am 12. und 30. September 2024 abgeschlossen. Die Einnahmen werden die Lieferungen des FF 91 unterstützen und die Wiederherstellung der Lieferkette für die Marke FF fördern, während gleichzeitig finanzielle Unterstützung für das Projekt der Marke FX bereitgestellt wird. Das Unternehmen hat zudem Vereinbarungen mit wichtigen Lieferanten gesichert, um Kosteneffizienzen bei der Entwicklung seiner Dual-Brand-Strategie zu optimieren, die sowohl den Luxus- als auch den Massenmarkt für AIEVs anvisiert.

Positive
  • Received full $30 million committed financing
  • Secured new agreements with key suppliers
  • Geographical diversification of investors (Middle East, US, Asia)
Negative
  • Continued reliance on external financing for operations
  • Need for supply chain restoration indicates operational challenges

Insights

The $30 million financing, while providing short-term operational support, appears insufficient for long-term sustainability given Faraday Future's significant cash burn rate and tiny $25.5 million market cap. The company's dual-brand strategy with FF and FX lines requires substantial capital for development, production and market penetration. While supplier agreements may help optimize costs, the company's financial position remains precarious. The incremental funding structure and diverse investor base across multiple regions suggests potential difficulties in securing larger, single-source investments. The market's tepid response reflects ongoing concerns about the company's ability to achieve meaningful production scale and compete effectively in both luxury and mass market segments.

  • Proceeds Will Help Advance FF and FX Dual-Brand Strategic Goals.

LOS ANGELES--(BUSINESS WIRE)-- Faraday Future Intelligent Electric Inc. (NASDAQ: FFIE) (“Faraday Future,” “FF” or the “Company”), a California-based global shared intelligent electric mobility ecosystem company, announced today that it has received the full net proceeds from the $30 million previously committed financing announced in September 2024. The initial closing occurred on September 12, 2024, and the second closing occurred on September 30, 2024. The proceeds, from investors in the Middle East, the United States, and Asia, were received in incremental tranches, with the final investment amounts received this week. For the FF brand, the net proceeds can support FF 91 deliveries and the gradual restoration of the supply chain; for the FX brand, the net proceeds can provide financial support to help progress the FX project.

This latest capital infusion is supporting Faraday Future’s dual brand operational requirements as the Company continues to establish its position within the luxury AIEV market through its FF brand, while concurrently establishing its FX brand’s presence in the mass AIEV market.

In addition to the recently completed financing, Faraday Future has reached agreements with several key suppliers. The agreements strengthen FF’s operational partnerships and support the Company’s ongoing commitment to optimizing cost efficiencies as it develops its dual-brand strategy.

“Receiving the committed funding and the partnerships with our key suppliers underscore the foundation we are building for our dual-brand strategy,” said Matthias Aydt, Global CEO of Faraday Future. “These collaborations are a testament to the confidence our partners have in FF’s future, allowing us to move forward with our commitment to reducing costs and enhancing production capabilities.”

ABOUT FARADAY FUTURE

Faraday Future is the pioneer of the Ultimate AI TechLuxury ultra spire market in the intelligent EV era, and the disruptor of the traditional ultra-luxury car civilization epitomized by Ferrari and Maybach. FF is not just an EV Company, but also a software-driven intelligent internet Company. Ultimately FF aims to become a User Company by offering a shared intelligent mobility ecosystem. FF remains dedicated to advancing electric vehicle technology to meet the evolving needs and preferences of users worldwide, driven by a pursuit of intelligent and AI-driven mobility.

FORWARD LOOKING STATEMENTS

This press release includes “forward looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. When used in this press release, the words “estimates,” “projected,” “expects,” “anticipates,” “forecasts,” “plans,” “intends,” “believes,” “seeks,” “may,” “will,” “should,” “future,” “propose” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. These forward-looking statements, which include statements regarding the use of proceeds from the $30 million offering, the restoration of the Company’s supply chain, establishing a position in the luxury and mass-market AIEV markets, reducing costs, enhancing production capabilities, and the Company’s second brand (FX), are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the Company’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements.

Important factors, among others, that may affect actual results or outcomes include, among others: the Company’s ability to continue to secure the necessary funding to execute on the FX strategy, which will be substantial; the Company’s ability to secure agreements with OEMs that are necessary to execute on the FX strategy; the Company’s ability to continue as a going concern and improve its liquidity and financial position; the Company’s ability to pay its outstanding obligations; the Company's ability to remediate its material weaknesses in internal control over financial reporting and the risks related to the restatement of previously issued consolidated financial statements; the Company’s limited operating history and the significant barriers to growth it faces; the Company’s history of losses and expectation of continued losses; the success of the Company’s payroll expense reduction plan; the Company’s ability to execute on its plans to develop and market its vehicles and the timing of these development programs; the Company’s estimates of the size of the markets for its vehicles and cost to bring those vehicles to market; the rate and degree of market acceptance of the Company’s vehicles; the Company’s ability to cover future warranty claims; the success of other competing manufacturers; the performance and security of the Company’s vehicles; current and potential litigation involving the Company; the Company’s ability to receive funds from, satisfy the conditions precedent of and close on the various financings described elsewhere by the Company; the result of future financing efforts, the failure of any of which could result in the Company seeking protection under the Bankruptcy Code; the Company’s indebtedness; the Company’s ability to cover future warranty claims; the Company’s ability to use its “at-the-market” program; insurance coverage; general economic and market conditions impacting demand for the Company’s products; potential negative impacts of a reverse stock split; potential cost, headcount and salary reduction actions may not be sufficient or may not achieve their expected results; circumstances outside of the Company's control, such as natural disasters, climate change, health epidemics and pandemics, terrorist attacks, and civil unrest; risks related to the Company's operations in China; the success of the Company's remedial measures taken in response to the Special Committee findings; the Company’s dependence on its suppliers and contract manufacturer; the Company's ability to develop and protect its technologies; the Company's ability to protect against cybersecurity risks; and the ability of the Company to attract and retain employees, any adverse developments in existing legal proceedings or the initiation of new legal proceedings, and volatility of the Company’s stock price. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of the Company’s Form 10-K filed with the SEC on May 28, 2024, as amended on May 30, 2024, and June 24, 2024, as updated by the “Risk Factors” section of the Company’s first quarter 2024 Form 10-Q filed with the SEC on July 30, 2024, and other documents filed by the Company from time to time with the SEC.

Investors (English): ir@faradayfuture.com

Investors (Chinese): cn-ir@faradayfuture.com

Media: john.schilling@ff.com

Source: Faraday Future Intelligent Electric Inc.

FAQ

How much financing did Faraday Future (FFIE) receive in September 2024?

Faraday Future received $30 million in previously committed financing, completed in two closings on September 12 and September 30, 2024.

What will Faraday Future (FFIE) use the $30 million financing for?

The financing will support FF 91 deliveries, supply chain restoration for the FF brand, and provide financial backing for the FX brand project.

Where did Faraday Future (FFIE) secure its September 2024 financing from?

The financing came from investors across the Middle East, United States, and Asia.

Faraday Future Intelligent Electric Inc.

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