Faraday Future to sell $30 million additional notes to Senyun

By Marisa Wong

Los Angeles, Dec. 29 – Faraday Future Intelligent Electric Inc. entered into a letter agreement on Dec. 28 with Senyun International Ltd., an affiliate of Daguan International Ltd., and FF Simplicity Ventures LLC as administrative agent and collateral agent to amend a securities purchase agreement dated Aug. 14, according to an 8-K filing with the Securities and Exchange Commission.

Under the letter agreement, Senyun will pay Faraday the first $4 million of its fourth funding tranche under the existing securities purchase agreement upon execution of the letter agreement.

In addition to an amount of $60 million already committed by Senyun as part of the joinder, under the letter agreement the company will issue and sell to Senyun, and Senyun commits to acquire from the company, incremental notes in an aggregate principal amount of $30 million.

The additional new notes will be funded as follows: $10 million no later than Jan. 31, $10 million no later than Feb. 28 and $10 million no later than March 15.

The additional funding is subject to a number of financing conditions, including delivery by Faraday to Senyun of warrants to purchase shares of common stock (up to a number equal to 33% of Senyun’s conversion shares for each additional funding date) with an exercise price equal to $5.00.

Faraday is a Gardena, Calif.-based technology company focused on the development of electric vehicles.

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