China’s Faraday Future, strapped for cash, explores strategic options

November 2, 2018 02:17 CET

Chinese electric-vehicle developer Faraday Future said on Thursday it was exploring strategic options, including debt and equity financing, two days after the automaker’s co-founder, Nick Sampson, stepped down.

The company said it “can now welcome potential investors from around the world.”

The move comes as the cash-strapped company, which has ambitions to overtake Tesla, is embroiled in a bitter legal fight with its main investor, China’s Evergrande Health Industry Group, after a planned $2 billion investment went sour.

Last week, Faraday Future got relief to seek financing from sources other than Evergrande Health, according to a interim ruling by a Hong Kong arbitration court.

Faraday Future has retained Stifel, Nicolaus & Co. as its financial adviser.

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