- It is in talks to go public through a merger with Property Solutions Acquisition Corp
- Property Solutions, led by Chairman and co-CEO Jordan Vogel, raised $230 million in a July 2020 IPO
As per a report by Bloomberg, Faraday & Future Inc., an electric vehicle startup, is in talks to go public through a merger with Property Solutions Acquisition Corp., a blank-check firm as per people with knowledge with the matter. It added that the special purpose acquisition company is seeking to raise more than $400 million in equity to support the transaction, which is slated to value the combined entity at around $3 billion, the people said.
The report added that Faraday, led by Chief Executive Officer Carsten Breitfeld, was founded by Jia Yueting, an entrepreneur who in October 2019 filed for bankruptcy in the U.S. after running up billions of dollars in personal debt. It was added that he emerged from bankruptcy after setting up a creditors trust and transferring all of his shares in the electric vehicle company to it, as per his July statement posted to the electric vehicle company’s website. He also said that as much as 10 per cent of the trust will go to compensating shareholders in Leshi Internet & Technology Corp., a now delisted unit of his conglomerate, and that he no longer holds any equity in Faraday but remains an employee.
Faraday appointed Zvi Glasman as CFO recently
The report added that this month, the company appointed Zvi Glasman, the former chief financial officer of Fox Factory Holdings, as its CFO. It has said its flagship vehicle, known as FF 91, will be available for sale about a year after the close of a successful round of funding.
Property Solutions, led by Chairman and co-CEO Jordan Vogel, raised $230 million in a July 2020 IPO. The report added that the company said at inception that it intended to target firms that service the real estate industry, including property technology. Electric-vehicle companies including Nikola Corp. and Fisker Inc. have gone public in recent years by merging with blank-check firms.
