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Faraday Future, Evergrande reach landmark deal to get carmaker in the black

Jan 2, 2019 by The Passage Team
Faraday Future, Evergrande reach landmark deal to get carmaker in the black

Evergrande Health has penned a restructuring agreement regarding its planned USD 2 billion investment in Faraday Future, helmed by Chinese serial entrepreneur Jia Yueting, which will lower Evergrande's stake to 32% from 45% while releasing its control over the car firm's pledged assets, according to a release that the Hong Kong Stock Exchange published on Dec. 31 on behalf of the Guangzhou-based firm.

The deal means that Faraday Future, which has had to send some of its staff on unpaid leave, will now be able to seek debt and equity financing to roll out its first product, the luxury sport utility vehicle FF91, with planned deliveries in the first quarter of this year.

The agreement enables Evergrande Health to focus on its business development and to support the JV to find financing and develop, the firm said in the release.

Source: Yicai Global

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