Evergrande and Jia Yueting continued to ferment in the arbitration case, Faraday Future once again fell into a no-pay storm. On October 30th, rumors about the online 'FF majority of employees will be suspended from work', the FF related person in charge to the Beijing Business Daily reporter It is said that at present (the staff has arranged this piece) has not yet received the HR notice, even if it is necessary to take vacation measures, at least 500-600 people will continue to promote the mass production work of FF 91.
On October 30, some media reported that some internal employees revealed that from November 1st, 2018, most employees of FF will have furlough (vacation), only a small number of employees will stay, the employee is expected to leave Less than 100, and only get the minimum salary, this state is expected to last at least two months. In this regard, the FF related person in charge said that the rumor is not accurate. This also indirectly verified the above news. However, according to the FF official previously announced The United States has 1,300 employees, only 500-600 people are allowed to continue to promote the FF 91 mass production work, which means that nearly half of the employees will take vacations.
In fact, just one week before the employee’s leave rumors, FF has already made a round of salary cuts due to funding problems. On October 22, FF said through internal mail that the funds of the investor’s Evergrande Health were not available in time. As a result, FF is currently facing a severe financial crisis. For this reason, FF will be forced to pay a 20% reduction in salary for all employees, and at the same time, layoffs will be implemented, and company CEO Jia Yueting will only receive an annual salary of US$1. The company will resume employees after the funds are in place. Original salary.
Behind the FF financial difficulties, Evergrande and FF continued the tug-of-war battle for more than half a month. In early October, Evergrande Health announced that it had accused Jia Yueting of running out of Evergrande for 800 million US dollars for half a year, and proposed to JD to pay in advance. Billions of dollars, after arbitration, demanded to deny Evergrande financing consent and lift all cooperation agreements. Although this statement was immediately denied by FF, the two sides subsequently experienced multiple rounds of war of words. On October 25, The results of the emergency arbitration of the dispute between Evergrande and Jia Yueting were released, but for the arbitration result, the parties still hold the same word.
According to the plan announced by FF, at the end of 2018, the first model FF91 will be mass-produced and delivered in the first quarter of 2019. In April this year, Rui Chi Smart Car (Guangzhou) Co., Ltd. (Hengda Faraday Future Smart Car ( The predecessor of Guangdong) Co., Ltd., with the support of Evergrande, took a plot of over 601 mu in Guangzhou with a reserve price of 364 million yuan for the construction of a car assembly plant. Recently, the Nansha Development Zone Investment and Trade Promotion Bureau of Guangzhou stated its position. The construction of the plant is not affected by shareholder disputes, and the construction time is expected to be about one year.
According to the results of the emergency arbitration, FF can make foreign financing of no more than 500 million US dollars before the final arbitration. The valuation of new equity financing should not be lower than the valuation of Shiying's investment. Shiying enjoys the right of first refusal of new shares. Mass production, it is reported that FF is already in contact with new investors, but the progress is unknown.
As of press time, Evergrande has not announced whether it will exercise the right of first refusal. At the same time, individuals or institutions interested in investing in FF should not only consider the constraints of Evergrande, but also consider the final ruling of Hong Kong international arbitration in the future.