Faraday Future (Chinese name "Faraday Future, hereinafter referred to as "FF") issued an announcement, announcing that it will cooperate with the company's major shareholder FF Top (FF Global Partners) on financing and board of directors. Restructuring to reach a final agreement.
The agreement shows that FF Top (a global partner company), the major shareholder of FF, and FFIE have formally reached a package of governance structure adjustment agreements, including the reorganization of the board of directors. The current executive chairman Sue Swenson and the former chairman Brian Krolicki will resign, and Jia Yueting and his partners will resign. The human team regained control of the FF company.
On October 7, FF announced that the company's executive chairman and director Sue Swenson, and directors Scott Vogel and Jordan Vogel have officially resigned from directors and all other relevant positions in the company, and Adam He has been appointed as interim chairman.
This means that with the successful reorganization of the FF board of directors, the partner team and company founder Jia Yueting has regained control of FF. FF expects that the board seated after the 2022 annual general meeting will elect a permanent chairman of the board.
In this regard, FF Top, the major shareholder of FF, issued a statement on the resignation of the above three directors. FF Top will continue to work with FF to fully implement the governance agreement reached by the two parties on September 23, 2022. It is believed that the board of directors will be the new interim director. A smooth transition has been completed under the leadership of Chief Adam He. As soon as the news of the resignation came out, FF's stock price shot up 12% in early trading on Thursday and rose nearly 10% by the close.
Jia Yueting joined former Tesla executive Nick Sampson and Lotus China executive Nie Tianxin to co-found Faraday Future in the United States in 2014. Headquartered in Gardena, California, in July 2021 Listed on the US stock market on the 22nd.
In 2020, Jia Yueting carried out a very beautiful operation, that is, he carried out debt restructuring, and used the equity and income of the FF company he held as trust property.
Then repay all the debts he owes with FF equity, thus turning these creditors into FF shareholders, and repaying the debt with his own FF shares. Since then, he is no longer in debt, nor is he a shareholder of FF, but after listing FF's stock price plummeted all the way, and now there is only $0.71 left (minimum $0.65, issue price $13.78).