Faraday Future (FFAI) CFO sells shares to cover income taxes
Rhea-AI Filing Summary
FARADAY FUTURE INTELLIGENT ELECTRIC INC. (FFAI) reported insider equity transactions by Chief Financial Officer Meka Koti Reddy. On August 24, 2026, 6,699 Restricted Stock Units vested and automatically settled into 6,699 shares of Class A common stock for no consideration, eliminating this RSU position. On August 25, 2026, 2,909 of these shares were sold at $2.79 per share in connection with the vesting to satisfy applicable employee tax withholding obligations, with cash proceeds remitted to the company for those taxes. A prior one-for-one hundred fifty reverse stock split on July 23, 2026 reduced the reporting person’s outstanding common shares from 5,839 to 39.
Positive
- None.
Negative
- None.
Insider Trade Summary
Exercise and sale activity reported; no spread calculated
Exercise and Sale
3 txns
Insider
Meka Koti Reddy
Role
Chief Financial Officer
Sold
2,909 shs ($8K)
Approx. gross sale proceeds
$8K
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Class A Common Stock F3, F2 | 2,909 | $2.79 | $8K |
| Exercise | Restricted Stock Units F1 | 6,699 | -- | -- |
| Exercise | Class A Common Stock F1, F2 | 6,699 | $0.00 | $0.00 |
Holdings After Transaction:
Restricted Stock Units — 0 shares (Direct);
Class A Common Stock — 3,829 shares (Direct)
Footnotes (3)
- F1. Each restricted stock unit ("RSU") represented a contingent right to receive one share of Class A common stock of the Company. The RSUs had no exercise or conversion price and were not exercisable. The RSUs were granted on August 17, 2026, vested in full and automatically settled on August 24, 2026 for no consideration. The RSUs had no expiration date
- F2. After the close of market on July 23, 2026, the issuer effected a one-for-one hundred fifty reverse stock split of all issued and outstanding shares of its Class A common stock (the "Common Stock"), which resulted in the reporting person's ownership of issued and outstanding shares of the Common Stock being reduced from 5,839 shares to 39 shares
- F3. Represents 2,909 shares sold in connection with the vesting and settlement of RSUs to satisfy applicable employee tax withholding obligations. The shares were sold by the broker and the cash proceeds were remitted to the Company to satisfy the applicable tax withholding obligations
Key Figures
Shares sold: 2,909 shares of Class A Common Stock
Sale price per share: $2.79 per share
RSUs settled: 6,699 Restricted Stock Units
+5 more
8 metrics
Shares sold
2,909 shares of Class A Common Stock
Sold on August 25, 2026 to satisfy employee tax withholding obligations
Sale price per share
$2.79 per share
Price for the 2,909 shares of Class A Common Stock sold on August 25, 2026
RSUs settled
6,699 Restricted Stock Units
Vested in full and automatically settled into 6,699 Class A common shares on August 24, 2026
Underlying shares from RSUs
6,699 shares of Class A Common Stock
Each RSU represented one share; all 6,699 RSUs settled for no consideration
RSUs following transaction
0 RSUs
Total Restricted Stock Units from this grant remaining after August 24, 2026 settlement
Reverse stock split ratio
One-for-one hundred fifty reverse stock split
Effected after the close of market on July 23, 2026 for Class A common stock
Shares before reverse split
5,839 shares of Class A Common Stock
Reporting person’s issued and outstanding shares prior to July 23, 2026 reverse split
Shares after reverse split
39 shares of Class A Common Stock
Reporting person’s issued and outstanding shares after July 23, 2026 reverse split
Key Terms
Restricted Stock Units, reverse stock split, Class A common stock, tax withholding obligations, +1 more
5 terms
Restricted Stock Units financial
"Each restricted stock unit ("RSU") represented a contingent right to receive"
Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.
reverse stock split financial
"the issuer effected a one-for-one hundred fifty reverse stock split of all"
A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.
Class A common stock financial
"one share of Class A common stock of the Company"
Class A common stock is a category of a company’s shares that carries a specific set of ownership rights—most commonly defined voting power and claims on dividends—set out in the company’s charter. For investors it matters because the class determines how much influence you have over corporate decisions, the share’s likely dividend and trading behavior, and how it compares in value to other share classes, like choosing a particular seat with different privileges at the company’s decision-making table.
tax withholding obligations financial
"sold in connection with the vesting and settlement of RSUs to satisfy applicable employee tax withholding obligations"
exercise or conversion of derivative security financial
"transaction_code_description": "Exercise or conversion of derivative security"
FAQ
What insider transactions did FFAI’s CFO Meka Koti Reddy report on this Form 4?
Meka Koti Reddy reported settlement of 6,699 RSUs into 6,699 Class A common shares on August 24, 2026, and a sale of 2,909 shares on August 25, 2026 at $2.79 per share to cover tax withholding obligations.
What happened to the 6,699 RSUs reported by FFAI’s CFO?
Each RSU represented a contingent right to receive one share of Class A common stock. 6,699 RSUs, granted on August 17, 2026, vested in full and automatically settled on August 24, 2026 into 6,699 shares of Class A common stock for no consideration, leaving 0 RSUs outstanding from that grant.
How did Faraday Future’s July 23, 2026 reverse stock split affect the CFO’s holdings?
After the close of market on July 23, 2026, Faraday Future effected a one-for-one hundred fifty reverse stock split, reducing the reporting person’s issued and outstanding Class A common shares from 5,839 shares to 39 shares.
AI-generated analysis. How Rhea-AI works. Not financial advice.
