Monday, March 25, 2019

Faraday Future Signs Deal With Chinese Gaming Firm For $600M Investment

Los Angeles-based Faraday Future and Chinese gaming products maker The9 Limited announced this morning that the two companies will enter into a new, joint venture, which will produce electric cars for sale in China. According to the two, The9 will contribute up to $600M to the new joint venture, with Faraday Future providing rights to a piece of land located in China for manufacturing its electric vehicles, and exclusive license to manufacture, market, distribute and sell Faraday Future's new brand V9 model and potentially other new models of vehicle in China. The deal provides a much needed cash injection to Faraday Future, which has been struggling to restart its operations after a fallout with a prior investor. According to Faraday Future, it expects annual production capacity of the venture of 300,000 cars, with a first pre-production car expected to roll off lines in 2020.