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FF may be in danger of breaking the capital chain again, and Faraday must submit its official financial results for the third quarter of 2021 by May 6, according to Rule 5250 (c) (1) of the Nasdaq listing rules. Otherwise, Faraday will be forced to delist in the future, which means that the last way to raise money will face the risk of closure. According to the time stipulated, there are 33 days left for Faraday in the future. If there is no formal financial report for 33 days to prove compliance, the stock market will be delisted and the fund-raising channel of the stock market will be closed.

According to earlier media reports: on November 24, 2021, Faraday said that it had received a warning letter from Nasdaq because it failed to submit its Q3 financial report for 2021 on time and was accused of not complying with the Nasdaq listing rules. It said that NASDAQ pointed out in the letter that Faraday should submit its quarterly report to September 30, 2021 within 60 days, and abide by the Nasdaq listing rules, no more than 180 days at the latest. In response, Faraday responded in the future that the failure to submit third-quarter results was mainly affected by the short report released by J Capital Research Mechkin Investment, a US short seller, and was under independent review of its allegations of financial fraud. It is understood that in October 2021 investment company and short seller J Capital Research Ltd. A 27-page Faraday short report was released that said FF would never deliver a car.

On November 29, 2021, Faraday Future posted a message via its official Wechat clarifying the recent statement that "Faraday will receive delisting notice in the future", saying: whether the receipt of the NASDAQ warning letter by Faraday Future means that NASDAQ is asking FFIE to delist is a misinterpretation. FF hereby clarifies that the Nasdaq warning letter is only related to the delay in the submission of Q3 financial statements by FF, which is a normal procedure. Within 60 days of receipt of the Nasdaq warning letter, FF will submit a compliance plan to Nasdaq, which will help FF obtain a grace period of up to 180 days from the initial deadline for submission of 10FQ to submit 10FQ or any other non-compliance documents. In addition, the clarification pointed out that FF is maintaining close contact with NASDAQ and is confident that it will return to normal status in the short term, and that as long as the company returns to normal SEC documents and submits them on time, there will be no real risk of stock delisting.

It is worth noting that the trouble facing FF is not just this quarterly financial report. It is understood that Faraday still owes its annual report for 2021, but for this report, Faraday said in the future that it cannot be submitted within the prescribed extension period. In other words, even if FF can submit quarterly results in time, it will still be at risk of being forced to delist.

Last week, Faraday Future filed a regulatory filing with the U.S. Securities Commission (SEC) that acknowledges that some members of the company's management team and employees have received security notices and subpoenas from SEC staff in the United States. the reason for the investigation is that Faraday Future is suspected of publishing inaccurate information to investors. Faraday also said in the future that the annual financial report up to December 2021 is not expected to be submitted within the deadline due to delays caused by internal investigations. Earlier, in February, a special committee of Faraday's future independent board said it had misled investors by acknowledging that only a few hundred people had paid for Faraday's future 14000 orders. To this end, Faraday in the future at the request of the board of directors, a number of responsible persons were demoted or suspended, cutting the company's CEO Carsten Bradfield and founder Jia Yueting's basic salary.

Although FF faces the risk of delisting its shares, the process of the first model, the FF, continues. FF's first model, the FF91, was officially launched on February 24th and will be put into production in the third quarter of this year. At the scene, Jia Yueting test-drove the FF91 and said that the 100km acceleration of the FF91 far exceeds that of the luxury sports car Maybach and also surpasses some Ferrari models, and then FF will go all out to promote the mass production of the model.

According to earlier reports from the auto industry, the Faraday will be established in 2013, and the FF91 is its first model. The new car made its global debut in Las Vegas in January 2017, positioning a high-end luxury electric car with an acceleration of 1050 horsepower at 0-60 mph, 300 + miles on a single charge and a range of 700km under NEDC conditions. In terms of price, the price is $2 million in China and $200000 in the United States. However, some relevant people in the industry said: "FF91 positioning high-end, high sales price, brand awareness is not enough." It is difficult to convert into cash flow immediately, and a lot of money needs to be input continuously. At present, FF has no hematopoietic ability, and loss is the norm. To raise money, to survive is particularly important, the stock market fund-raising channels for FF, also appears to be particularly critical, if not handled properly, FF will also fall into the capital chain fracture crisis.

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