Faraday Future Intelligent Electric Inc. is finalizing an additional raise of $50 million from investors as it plans to begin production this month on its first electric vehicle.
The capital would augment the $665 million the company expects to receive in the coming months from existing investors to provide the Gardena company with sufficient capital to ramp production well beyond the second quarter of this year, according to a letter to investors from Faraday Chief Executive Xuefeng Chen and founder YT Jia.
The carmaker had already received non-binding indications of interest from investors for nearly the full $50 million amount, the letter said.
“Many of you have previously indicated an interest to invest,” the letter stated. “In response to these requests, we would like to invite accredited investors this opportunity to invest alongside our other investors at this exciting turning point, as the company marches towards FF 91 start of production. We expect once we start production and delivery of the FF 91 Futurist vehicles, our cost of capital will drop considerably as we continue to hit milestones and generate revenue.”
The company expects to begin production on its FF 91 Futurist vehicle by March 30 and will begin deliveries by the end of April, pending financing and a timely supply of parts from vendors.
“The company’s goal is to create a profitable business with operating cashflow breakeven in 2025,” the letter to investors added.