Faraday Future Intelligent Electric Inc. has been busy of late and recently secured $30 million in cash financing commitments.
The Gardena electric vehicle manufacturer also announced that it would have two of its prototype Faraday X vehicles on display in Las Vegas during the Consumer Electronics Show.
The release about the financing sent the company’s stock price down more than 4% from a close on Dec. 20 of $1.16 to a close of $1.11 on Dec. 23.
The company said the money will be used to accelerate its growth and development of the Faraday X – its strategy of launching affordable high performance artificial intelligence electric vehicles with cutting edge technology, and for general corporate purposes.
The $30 million financing commitment includes a pre-funded $7.5 million, which was received in the fourth quarter, and $22.5 million in new cash commitments, structured in the form of unsecured convertible notes and warrants to acquire additional shares of the company’s common stock.
Matthias Aydt, global chief executive of Faraday, said the new funding lays a solid foundation for the company and its new brand as it enters the new year.
“I am optimistic about the opportunities that this new funding will bring, including supporting the ongoing production of our FF 91 2.0 and the growth of the FX brand,” Aydt said in a statement.
Jerry Wang, head of corporate development at Faraday, said he was pleased to have supported the company in successfully completing the financing round.
“We are enthusiastic about the promising opportunities ahead for the FX brand, and we firmly believe in Faraday’s ability to execute its strategy effectively and deliver significant value in the process,” Wang said in a statement.
Faraday also said during a December release that its two Faraday X prototype vehicles, or mules, would arrive in Los Angeles from China in late December. The cars would then begin the product testing and evaluation phase shortly thereafter at Faraday’s manufacturing facility in Hanford, with a stop in Las Vegas from Jan. 5 to 7, which coincides with the Consumer Electronics Show.
While in Las Vegas, the company will provide updates on the progress of the FX strategy.
“The FX brand is accelerating its efforts to deliver ‘twice the performance at half the price’ artificial intelligence electric vehicle products to U.S. consumers and is advancing toward the goal of delivering performance and technology capable electric vehicles at an affordable price point,” according to the release.
