Written by Cláudio Afonso | LinkedIn | X
The US-based electric vehicle (EV) startup Faraday Future announced on late Thursday that the Nasdaq Hearings Panel has granted the conditional continued listing of its shares.
The last day of July is now the new deadline for the company to report its 10-Q form, which must be submitted quarterly by all public companies to the Securities and Exchange Commission (SEC).
In terms of the minimum bid price requirement, Faraday Future has now until the end of August to comply with the Nasdaq rules and assure that its stock price maintains over $1 per share.
On Thursday, the shares closed at $0.60 after surging nearly 31 percent taking weekly gains to over 200 percent as its Middle East investor teases developments in the region.
Matthias Aydt, Global CEO of FF, stated that the company plans “to continue on this trajectory of committing to completing additional requirements in the coming weeks.
“We are extended to the end of July to file our 10Q. And we are extended to the end of August to be compliant with our bid price,” Aydt stated in a new video shared on social media
“We will be able to take all our measures we described already. And make sure that we are compliant going forward and become a so called normal company again. For me this is extremely exciting news and I hope it’s the same way for you guys,” the chief executive added.
Here’s the full video shared by Faraday Future.
Shareholders of the electric vehicle (EV) startup Faraday Future have been living a real rollercoaster so far this year. The company has delivered only one vehicle this year as it seeks more funding in the Middle East region.
The stock started the year at about $0.68, went south to just below $0.04 in late April before soaring 9,500 percent in 18 trading days to $3.90 amid the comeback of one of the world’s famous trader Keith Gill, known as “Roaring Kitty,” who previously drove meme stocks to remarkable highs in 2021.
Since then, the stock has returned back to earth. As of the time of writing this Thursday, the shares of the EV startup are trading 24 percent higher at $0.57 giving continuation to the run of 73 percent seen on Wednesday.
On Wednesday, Abdullah Al Qassimi, CEO of Master Investment Group, visited Faraday’s headquarters in Los Angeles for “a strategic meeting”. Here’s the video shared by Faraday Future.
Qassimi teased on his LinkedIn, “A new chapter to be started!” without unveiling further details of the company’s expansion to the Middle East Region as unveiled last December.
By then, Faraday Future said it signed a strategic cooperation agreement with Master Investment Group and Siraj Holding LLC saying both investors would “support FF beginning operations in the Middle East Region in 2024”.
The company is targeting a reverse stock split ranging from 1-for-2 to 1-for-40 shares four months after the previous 1-for-3 reverse stock split.
In a statement, the company said it aims to achieve a post-reverse split stock price of at least $5 per share, though the Board may opt not to implement the reverse split if the stock price naturally meets Nasdaq’s requirements.
The company’s founder YT Jia, who filmed with a TV showing a Rivian article behind him, commented on last night’s announcement from Volkswagen regarding the investment in the EV startup that can go up to $5 billion.
NEVER MISS AN UPDATE
On X, he stated that the investment in Rivian “further underscores the immense potential of the American AI EV market and its leading edge in technology and products”.
“This attracted global giants and was a key reason I chose to start FF in the US. We will continue to strive to unleash FF’s enormous potential and limitless possibilities as soon as possible”, he added.
After a four-month hiatus, the electric vehicle startup resumed deliveries earlier this month, handing over the FF91 2.0 to a retail shareholder.
The proposed reverse stock split is intended to address compliance with Nasdaq’s minimum bid price requirements. In a new video posted on late Monday, the CEO Aydt commented the effort from the company to comply with Nasdaq’s bid requirement.
NEVER MISS AN UPDATE
The company has received a deficiency notice from Nasdaq last December after its stock price fell below the required $1.00 per share for 30 consecutive trading days. Further non-compliance was noted when the stock price dropped below $0.10 for ten consecutive trading days, resulting in Nasdaq’s determination to delist the company’s securities.
In addition to the reverse stock split, Faraday Future is proposing an increase in authorized shares to facilitate strategic financing efforts.
The startup says the proposed increase in authorized shares will enable the company to pursue equity and equity-linked financing opportunities, particularly in the Middle East.
Last week, the chief executive Matthias Aydt, shared on LinkedIn that he visited Ras Al Khaimah in the United Arab Emirates (UAE) aiming at reinforcing relationships and discussing strategic collaborations in the region, he said.
NEVER MISS AN UPDATE
Written by Cláudio Afonso | LinkedIn | X
