Faraday Future Secures $600 Million In Funding

NOV 26 2016 BY STEVEN LOVEDAY 20

Faraday Future FFZERO1 Concept

Faraday Future FFZERO1 Concept

Recently we reported that Faraday Future was facing issues related to unpaid bills, possible work stoppage, and loss of company credibility. New reports state that China-based Leshi Holdings, has rounded up $600 million in secured support for Faraday’s automotive efforts and parent company LeEco’s high-tech business pursuits.

Faraday Future Factory Rendering

Faraday Future Factory Rendering

According to Reuters, LeEco has been dealing with a fund shortage due to quick expansion and a myriad of product lines. The company has invested in many technological pursuits, including electric cars (Faraday Future), smartphones, and TVs. CEO Jia Yueting communicated the cash problem to employees recently in the form of a letter.

There has been much speculation as to whether or not Faraday Future will be able to follow through with its factory and other planned expansions. Some believe that, despite the company’s touted concept car, and the more recent “unveiling” of the supposed “actual car”, a mass-produced Faraday Future vehicle may not come to fruition. The project has already cost the company $1.5 billion and counting. Independent technology analyst, Richard Windsor explained:

“I suspect that the automotive ambitions will be reluctantly curtailed which I think gives LeEco its best chance of success in its other endeavors.”

Ten Chinese companies are pooling their resources to assure that Faraday can disprove the doubters. Initially, by the end of this month, $300 million will be invested in LeEco, with the other half to come at a later date.

Regardless of any naysayers, Jia maintains confidence that Faraday can and will become a force for Tesla to reckon with.

Source: Reuters

Categories: Faraday Future

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20 Comments on "Faraday Future Secures $600 Million In Funding"

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While they may survive, I am still very sceptical about their chances.

Looks to me like they “only” secured $300M now with promise of another $300M later.

And they will need to pay around $50M to cover existing late invoices (doubt that construction of their factory can resume before that) + hired companies will likely insist on some prepayments (or bank guarantees) due to past payment issues.

It is the contractor that held the money.

Yea, It’s The Contractor’s Fault….lol…

The Faraday “BIG BOYS” will be busy Now! Lining their pockets again until the Gravy Train makes another Round with a Re-Lining to their pockets..They’ll keep on Lining their pockets until the fools wake up and STOP!, giving them all this Free Money…..Faraday will be building No Cars of any kind and are going Nowhere as an auto making Organization. These Loans are a waste of money making the Rich Richer!~

“A Force for Tesla to reckon with”…..L M A O… Sounds like Envy & Sour grapes for some reason..I hope they succeed , But they won’t succeed,..Every man for himself and to many people on the take in that company.

The Headquarters here in Gardena, Ca is still hopping with activity. This round of capital infusion, still appears to be in a 90 day holding pattern, as there are CNY currency devaluation issues, among other smaller items, that need to be resolved.

“Jia maintains confidence that Faraday can and will become a force for Tesla to reckon with.” ???

It’s not Tesla but conventional (ICE) car manufacturers that should be doing the ‘reckoning’ as EV manufacturers like Faraday Futures produce more all-electric EVs. Elon has repeatedly stated that he welcomes, and even encourages more EV manufacturers.

LeShi and all his holdings are fighting the wrong battle.

Fighting for Tesla to see that they are a force to be reckoned with.

Meanwhile Tesla is fighting to change the world.

Jia Yueting wants to change the world and to bring back the blue sky.
The only reason why Tesla is mentioned is because they are the yardstick when it comes to EVs.

I predict Tesla buying up this factory when FF goes bust in four years. I want them to succeed, but this has all the earmarks of another Fisker fiasco.

Fisker,Now There’s a Snake in the Grass if there ever were one!

“Fisker Fiasco”, with a dash of “Solyndra Sauce”, should make for a interesting Faraway Future EV plate in 2020. I don’t see Elon eating at this Neighborhood Resurant, on the early bird special, anytime soon. Now, swinging by for drinks during happy hour, in 2021, maybe!

Yea, Once it’s Built and ready Tesla Can Buy for 10Cents on the $ Dollar Like they did the GM/Toyota Plant when they Ramp up for More Production..All Joking aside I really Hope These guys Make it , But < It Doesn't Look Good to me , Not one Bit..

For want of a wooden stake, the battle was lost. In the age of things trying to come back from the dead, FF is another example.

So the factory building will be continued. But this will most likely mean that there is no chance for a 2017 start of deliveries. Even if things run smoothly from now a 2018 delivery start would be impressive.

CES will be interesting. That is the first time they will really have to show their true colors and what they are capable of.

My bet is still on them making it into production. And my hopes are that they will be successful and sell EVs in large numbers.

“Regardless of any naysayers, Jia maintains confidence that Faraday can and will become a force for Tesla to reckon with.”

Yeah, well Faraway Faraday Future has been announcing pie-in-the-sky, completely unrealistic plans since their first press release. Some of their claims and plans are facepalm-worthy. Two examples: that ludicrous non-functional mock-up of a “batmobile” concept car, and their equally ludicrous design for an auto assembly plant (also seen above).

Nothing important has changed regarding FF. It’s still touting what is not merely vaporware; it’s exceedingly rarefied vaporware.

FF has all the Makings of a Scam..Again , I hope they are for real & Succeed , because Competition Gives Us all More Choices & better everything. All signs Cast Nothing but Doubt on all of these Carry-ings On By FF..

The $600m is not new money, but the only portion of a previous funding round Jia had attempted to raise. Only a fraction of this will be allocated to Faraday, insufficient to cover their current debt. Suppliers are withholding components because Faraday is unable to cover outstanding payments. Faraday are trapped as a victim of Jia’s giant Ponzi scheme

Please post info to back-up your story. /

FF fighting to be like Tesla. Wanda Group fighting to be like Disney. Xiaomi fighting to be like Apple. In typical Chinese copycat fashion…