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EV start-up Faraday Future (FFIE) inches one step closer to finally launching its flagship EV, the FF 91, after announcing Monday it has reached an agreement to resolve an ongoing dispute with its largest shareholder to fund production.

Faraday Future continues raising money for FF 91 launch

Faraday Future has faced endless delays as it prepares to begin production of its first electric vehicle, the FF 91. It’s been an uphill battle, to say the least.

The LA-based EV start-up has consistently pushed back launch dates as it seeks additional funding to keep the business alive. Faraday Future first claimed it would begin production of the FF 91 in 2018, and we still have yet to see the launch.

Ever since then, it’s been one hurdle after another for Faraday Future. The company has lost a few top executives to other EV start-ups and has been raising funds to keep the business alive for what seems like forever now.

In the company’s Q2 earnings, Faraday Future reported an operating loss of $137 million, up almost 400% from 2021, and $121 million in cash. However, the EV start-up noted it would need to raise $325 million in capital to continue operations with projected cash use of $368 million through the end of this year. It also said it would need additional funds to keep the business running by September.

The struggle has led some of Faraday Future’s top investors to question the company’s motive. Last week, the dispute peaked as FF Top Holding, Faraday Future’s largest shareholder, sued the EV start-up, citing that the company is “suffering from a crisis of leadership at the board level” and calling for several board members to be replaced.

Faraday Future has, nonetheless, kept the dream alive, insisting the FF 91 will begin production by the end of 2022. With Faraday Future resolving the monthslong dispute, the company has up to $100 million in new financing. Will we finally see the FF 91 hit the production line?

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Faraday Future FF 91 Source: Faraday Future

Faraday Future settles dispute with new funding, board shake-up

Faraday Future announced it has agreed with FF Top Holding, according to a new 8K filing, to resolve the ongoing dispute, which includes new financing and the removal of two board directors.

As part of the agreement, the following changes will take place to Faraday’s board:

  • Brian Krolicki will step down as director.
  • Sue Swenson will step down as executive chair.
  • Faraday Future’s board has been expanded from nine to ten, with Adam He joining.

In addition, Faraday says it will receive $40 million in near-term funding from convertible notes and another $60 million from Senyun International (a subsidiary of Daguan International).

FF Top Holding will drop the lawsuit as a result. A spokesperson from FF Top stated:

FF Top is glad that a resolution has been reached. We look forward to this opportunity for a new start and brighter future for FFIE, and to all parties performing their obligations under the governance agreement, to achieve the best interests of Faraday Future and all shareholders.

Meanwhile, Dr. Carsten Breitfeld, Faraday Future’s CEO talks of the milestone, claiming:

The resolution of governance and related issues with our largest shareholder is a major accomplishment and an important step forward for Faraday Future and all our stakeholders. We can now focus our effort on building the FF 91. We appreciate all parties’ efforts in reaching this agreement.

Electrek’s Take

With another round of funding, will the FF 91 see the light of day? That’s what Faraday Future claims. Although we have heard this many times before, there’s reason to believe this time may be different.

With FF Top getting its way and removing two board members, the investing group may be more willing to work with the EV start-up. Faraday still says production will begin in the fourth quarter of this year. Should we believe them? I wouldn’t keep my fingers crossed, but the company is in a better position now with a new capital injection. More importantly, it isn’t wasting time and resources defending itself in court against its largest investor.

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Troubling times for Tesla, Nissan, and Dodge – plus some fun yellow stuff!

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Troubling times for Tesla, Nissan, and Dodge – plus some fun yellow stuff!

Tesla’s Q2 results are in, and they are way, way down from Q2 of 2024. At the same time, Nissan seems to be in serious trouble and the first-ever all-electric Dodge muscle car is getting recalled because its dumb engine noises are the wrong kind of dumb engine noises. All this and more on today’s deeply troubled episode of Quick Charge!

We’ve also got an awesome article from Micah Toll about a hitherto unexplored genre of electric lawn equipment, a $440 million mining equipment deal, and a list of incompetent, corrupt, and stupid politicians who voted away their constituents’ futures to line their pockets.

Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple PodcastsSpotifyTuneIn, and our RSS feed for Overcast and other podcast players.

New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

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Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.


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OpenAI says Robinhood’s tokens aren’t equity in the company

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OpenAI says Robinhood's tokens aren't equity in the company

Jaque Silva | Nurphoto | Getty Images

OpenAI is distancing itself from Robinhood‘s latest crypto push after the trading platform began offering tokenized shares of OpenAI and SpaceX to users in Europe.

“These ‘OpenAI tokens’ are not OpenAI equity,” OpenAI wrote on X. “We did not partner with Robinhood, were not involved in this, and do not endorse it.”

The company said that “any transfer of OpenAI equity requires our approval — we did not approve any transfer,” and warned users to “please be careful.”

Robinhood announced the launch Monday from Cannes, France, as part of a broader product showcase focused on tokenized equities, staking, and a new blockchain infrastructure play. The company’s stock surged above $100 to hit a new all-time high following the news.

“These tokens give retail investors indirect exposure to private markets, opening up access, and are enabled by Robinhood’s ownership stake in a special purpose vehicle,” a Robinhood spokesperson said in response to the OpenAI post.

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Robinhood offered 5 euros worth of OpenAI and SpaceX tokens to eligible EU users who signed up to trade stock tokens by July 7. The assets are issued under the EU’s looser investor restrictions via Robinhood’s crypto platform.

“This is about expanding access,” said Johann Kerbrat, Robinhood’s SVP and GM of crypto. “The goal with tokenization is to let anyone participate in this economy.”

The episode highlights the dynamic between crypto platforms seeking to democratize access to financial products and the companies whose names and equity are being represented on-chain

U.S. users cannot access these tokens due to regulatory restrictions.

Robinhood hits record high as OpenAI, SpaceX go on-chain

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BYD launches new discounts, offering +50% off smart driving tech

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BYD launches new discounts, offering +50% off smart driving tech

Despite the warnings, BYD continues introducing new discounts. On Wednesday, BYD’s luxury off-road brand began offering over 50% Huawei’s smart driving tech.

BYD introduces new discounts on smart driving tech

After BYD cut prices again in May, the China Automobile Manufacturers Association (CAMA) warned that the ultra-low prices are “triggering a new round of price war panic.”

Although they didn’t single out BYD, it was pretty obvious. BYD slashed prices across 22 of its vehicles by up to 34%, triggering several automakers to follow suit in China.

BYD’s cheapest EV, the Seagull, typically starts at about $10,000 (66,800 yuan). After the price cuts, the Seagull is listed at under $8,000 (55,800 yuan).

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It doesn’t look like China’s EV leader plans to slow down anytime soon. Fang Cheng Bao, BYD’s luxury off-road brand, introduced new discounts on Huawei’s smart driving tech on Wednesday.

The limited-time offer cuts the price of Huawei’s Qiankun Intelligent Driving High-end Function Package to just 12,000 yuan ($1,700).

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BYD Fang Cheng Bao 5 SUV testing (Source: Fang Cheng Bao)

Buyers who order the smart driving tech in July will save over 50% compared to its typical price of 32,000 yuan ($4,500).

Earlier this year, Fang Chang Bao launched the Tai 3, its most affordable vehicle, starting at 139,800 yuan ($19,300). The Tai 3 is about the size of the Tesla Model Y, but costs about half as much.

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BYD Fang Cheng Bao Tai 3 electric SUV (Source: Fang Cheng Bao)

The Tai 3 will spearhead a new sub-brand of electric SUVs following the more premium Bao 8 and Bao 5 hybrid SUVs.

BYD’s luxury off-road brand sold 18,903 vehicles last month, up 50% from May and 605% compared to last year. Fang Cheng Bao has now sold over 10,000 vehicles for three consecutive months.

The Chinese EV giant sold 382,585 vehicles in total in June, an increase of 12% from last year. In the first half of the year, BYD’s cumulative sales reached over 2.1 million, a YOY increase of 33%.

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