After falling into conflict with the investor Evergrande, Faraday Future finally ushered in the latest developments in financing, and Jia Yueting seems to have seen a new dawn.
On November 2, FF insiders revealed to the Securities Times·e company reporter that after the emergency relief arbitration against the investor Evergrande, FF officially launched global financing, and recently signed a contract with the top US investment bank Stifel with more than 100 years of history. (Steve), a comprehensive acceleration of the financing process. At present, Stifel has sent core staff to FF, and discussed with the FF finance, product and supply chain leaders the financing, project progress and supply chain relationship maintenance issues.
Stifel has sent personnel to FF
Just one day ago (November 1), FF insiders just told the Securities Times·e company reporter that FF has already had close contact with three or four international financial institutions on financing matters. Among them, there are many top ten international rankings. The well-known big investment bank, and is expected to reach a service agreement in the next few days. Today, FF quickly signed a contract with Stifel, also confirmed that FF is accelerating the financing process.
According to Stifel's official website, Steve is a famous investment bank with a history of more than 100 years in the United States. He has provided financing advisory services to many famous companies. Since 2005, the investment bank has completed more IPO equity financing cases than Morgan Stanley. Daniel and JP Morgan became the best-performing investment bank in the field. The company also has a wealth of experience in debt financing.
According to FF insiders, Stifel has sent core staff to FF and discussed with the FF finance, product and supply chain leaders about financing, project progress and supply chain relationship maintenance issues. After the relationship with Evergrande broke down, FF fell into Short-term cash flow difficulties, have to take layoffs, pay cuts and other ways to save themselves, to ensure that the core projects related to FF 91 mass production continue to advance.
Previously, emergency relief arbitration allowed FF to get a self-help front, and finding the right new investor as soon as possible became the key to FF self-salvation.
'500 million US dollars in equity financing rights is crucial for FF. This fund can basically meet the production demand of FF 91. The former executives did not agree with the FF vision and the value of product technology. After the situation is improved, I believe they will return to the FF team. 'An insider of the FF who did not want to be named said that FF has already conducted further negotiations with investors from Europe, the United States and the Middle East.
According to the reporter of Securities Times·e Company, since the first pre-production car was off the assembly line on August 28, FF is currently pushing forward the production of the pre-production car to meet the needs of various test and verification before mass production. At present, FF still retains more than 500 core employees in R&D, manufacturing and supply chain, ensuring that the core projects related to FF 91 mass production and delivery are still advancing.
FF US net worth of more than 600 million US dollars
On October 25, Evergrande Health announced that the Hong Kong International Arbitration Center agreed to FF to conduct strict financing, in which the valuation of new shares financing should not be lower than the valuation of Evergrande, and the amount of external financing before the final arbitration. No more than $500 million.
It is reported that since FF has obtained 500 million US dollars in financing rights, Stifel will fully help FF to complete negotiations with investors as soon as possible, tailoring short-term debt financing solutions for FF, helping FF to tide over the difficulties.
Regarding debt financing, FF has been trying to use short-term borrowing in the form of pledge of core assets. However, Evergrande Health, which is the largest shareholder, applied for preservation of FF core assets, which led to the FF's funding plan for self-help.
It is worth noting that Evergrande Health has also announced that the Hong Kong International Arbitration Center rejected FF's request to lift the mortgage. However, the two sides still hold the same word. Evergrande's statement is denied by the FF official statement. In a statement with a 'black and white' picture, the Hong Kong International Arbitration Centre did not make any ruling on FF's request for Evergrande to lift the FF asset mortgage, but will make a ruling in another emergency relief arbitration.
According to FF insiders, Stifel conducted a comprehensive assessment of FF's existing assets. Only FF US net assets value exceeds 600 million US dollars, while debt is only tens of millions of dollars. Assets are far greater than liabilities, only funds appear. The liquidity is difficult. In fact, compared with the valuation of nearly $4.5 billion when Evergrande Health invested, the FF valuation that is close to mass production has also increased significantly.
Previously, FF stated in the statement that in April 2018, The Tech Tribune selected FF as the fourth place in California's Top 10 startup. FF did not fall into a sign of total stagnation, maintaining the company's work through layoffs and pay cuts. Normal operation has left more than 500 core employees in production, R&D and supply chain, which is an extremely valuable asset for the current troubled FF.
'In the past four years, FF has accumulated nearly 400 patents, and it is only one step away from the first mass production. The first pre-production car of FF 91 is still undergoing various test verification work, the next pre-production The production car is also in the process of making intensive production, and soon everyone will see more FF 91 pre-production cars off the assembly line. 'The above FF insiders revealed that FF will also announce a heavyweight executive in the research and development field. Join.
Securities Times·e company reporter also noticed that on November 2nd FF official Weibo showed that its first concept car FFZERO1 was exhibited at the new opening of the Art Center in the United States at the Mullin Gallery.