Faraday Future Secures $30 Million Financing to Strengthen the Company’s Core Business and Continued Ramp-Up of the Faraday X (FX) Strategy

LOS ANGELES–( BUSINESS WIRE )– Faraday Future Intelligent Electric (Nasdaq: FFIE) (FF, Faraday Future, or Company), a California-based technology company specializing in electric vehicles, announced… Artificial Intelligence (AIEV), announced that it has secured approximately $30 million in cash financing commitments. The funds will be used to accelerate the company’s growth and development of Faraday

Targeting the mainstream electric vehicle market in the US, FF is expected to bring its first two FX prototypes to Los Angeles later this month, with product development and testing scheduled to begin at FF’s manufacturing facility in Hanford, California. . As part of the delivery flight, the two mule models will stop in Las Vegas from January 5-7, 2025, where the company will provide updates on its FX strategy.

The $30 million financing commitment includes a pre-funded amount of $7.5 million received in the fourth quarter of this year, and $22.5 million in new cash commitments (the Financing), structured as unsecured convertible notes (the Convertible Notes). And guarantees. To obtain additional shares of the company’s common stock (warrants). The conversion price of the Convertible Notes and the exercise price of the Warrants are $1.16 and $1.392 per share, respectively, and are subject to adjustment as provided herein. The shares of common stock underlying the convertible notes and notes issued in the financing are not currently registered, are subject to trading restrictions, and are not immediately tradable. Financing is subject to customary closing conditions. For additional information regarding material terms relating to the financing, please see the Company’s Form 8-K which will be filed with the Securities and Exchange Commission on December 23, 2024.

Matthias Aidt, FF’s global CEO, said the new funding lays a solid foundation for both FF and its new brand as the company approaches the end of 2024 and enters the new year. I am optimistic about the opportunities this new funding will bring, including supporting the continued production of FF 91 2.0 and the growth of the FX brand,” Aydt explained.

“We are pleased to support FF in successfully completing this round of financing, and are excited about the promising opportunities ahead for the FX market,” said Jerry Wang, President of FF Global Partners (NYSE:) and Head of Corporate Development at FFIE (Adviser). brand, and we firmly believe in FF’s ability to effectively execute its strategy and deliver significant value in the process.

The convertible notes, together with the warrants, were offered and sold in a transaction exempt from the registration requirements of the Securities Act of 1933, as amended (the “Securities Act), pursuant to an exemption for transactions by the issuer that do not involve any public offering under Section 4(a)(2) of the Securities Act and Rule 506 of Regulation D of the Securities Act and in reliance on similar exemptions under applicable state laws.

Accordingly, the convertible notes, warrants and underlying shares of common stock issuable upon conversion of the convertible notes and exercise of the warrants may not be offered or sold in the United States except pursuant to an effective registration statement or an applicable exemption from the registration requirements of the Securities Act and applicable securities laws. In the country.

The Company has agreed to file one or more registration statements with the Securities and Exchange Commission to record the resale of shares of common stock issuable upon conversion of the Convertible Notes and the exercise of warrants issued in connection with the Financing.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the Convertible Notes, nor does it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification. Under the securities laws of any such jurisdiction.

About Faraday’s future

Faraday Future is the market leader for Ultimate AI TechLuxury amid the global trend of electric vehicles. Luxury is just one of the key factors that reflects FF’s achievements in reshaping the electric vehicle industry. The company is dedicated to creating an ever-evolving in-car interactive software and operating system powered by AI and user-generated data, improving the experience for everyone within an ecosystem of users around the world who also contribute to the innovative FF model. .

Forward-looking statements

This press release includes forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. When used in this press release, the words estimate, anticipate, expect, anticipate, anticipate, plan, intend, believe, seek, may, will, should, future, and propose, and variations of these words or similar expressions (or negative versions of these Words or expressions) are intended to identify forward-looking statements. These forward-looking statements, which include statements regarding the closing of the Convertible Note financing, Faraday of known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the Company’s control, that could cause actual results or outcomes to differ materially from those. are discussed in the forward-looking statements.

Important factors that may affect actual results or results include, among others: the possibility that the closing of the financing may be delayed or not occur at all; Timing of the two mule models to clear US customs; 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 address material weaknesses in internal control over financial reporting and risks related to restatements of previously issued consolidated financial statements; The Company’s limited operating history and significant barriers to growth; The company’s history of losses and the expectation that losses will continue; The success of the company’s payroll expense reduction plan; the Company’s ability to implement its plans to develop and market its vehicles and the timing of such development programs; The Company’s estimates of the size of the markets for its vehicles and the cost of bringing 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; Performance and security of company vehicles; current and potential litigation relating to the Company; the Company’s ability to receive funds from, satisfy conditions precedent and close various financings described elsewhere by the Company; As a result of future financing efforts, the failure of which could result in the Company seeking protection under the Bankruptcy Code; Company indebtedness; the Company’s ability to cover future warranty claims; The Company’s ability to use its software in the market; Insurance coverage; General economic and market conditions affecting demand for the Company’s products; potential negative effects of a reverse stock split; Potential cost, headcount and payroll reduction measures may not be sufficient or may not achieve their expected results; Circumstances beyond the Company’s control, such as natural disasters, climate change, health epidemics, pandemics, terrorist attacks and civil unrest; risks related to the Company’s operations in China; The success of the remedial actions taken by the Company in response to the findings of the Special Committee; the Company’s reliance on its suppliers and contract manufacturers; The Company’s ability to develop and protect its technologies; The Company’s ability to protect against cybersecurity risks; The Company’s ability to attract and retain employees, any adverse developments in existing legal proceedings or the initiation of new legal proceedings, and the volatility of the Company’s stock price. You should carefully consider the factors described above and the other risks and uncertainties described in the Risk Factors section of the Company’s Form 10-K filed with the Securities and Exchange Commission on May 28, 2024, as amended on May 30, 2024 and June 24, 2024, as updated by the Factors Section. The risk in the company’s first-quarter 2024 Form 10-Q filed with the Securities and Exchange Commission on July 30, 2024, and other documents the Company files from time to time with the Securities and Exchange Commission.

View source version on Businesswire.com: https://www.businesswire.com/news/home/20241222966710/en/

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

Source: Faraday Future Intelligent Electric (NASDAQ:).