Faraday Future raises USD 225 million to mass produce its electric vehicles

Faraday will need more cash to get its assembly line moving.

People gather around the Faraday Future's FF 91 electric car during a news conference at CES International on Tuesday, Jan. 3, 2017, in Las Vegas. (AP Photo/Jae C. Hong)

Cash-strapped electric vehicle maker Faraday Future announced on Tuesday that it has gained USD 225 million via debt financing and trust financing.

Commercial bank Birch Lake was the main lender in this round, laying “solid ground” for future equity financing, the US-based EV maker said on its official WeChat account.

KrAsia reported in January that  Faraday still needed USD 500 million to kickstart the production of its first-ever automobile, the FF 91.

This EV model, which was premiered on Jan 4th 2017, is now stalling at the pre-mass production stage. In theory, the assembly lines are ready for mass production, but Faraday needs capital to resume cooperation with its suppliers.

Faraday Future was established by Chinese entrepreneur Jia Yueting, who is also the founder and now the largest shareholder of LeTV.com. Both Jia and LeTV are defaulters listed by Chinese courts for failing to repay their liabilities.

LeTV said in a filing Monday that both the company and Jia were notified of being investigated by the China Securities Regulatory Commission on information disclosure.

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