TLDR
- FFAI fuels stock surge with $41M PIPE crypto-Qualigen strategic deal
- Faraday Future secures 55% stake in Qualigen via $41M crypto PIPE boost
- FFAI rockets higher on $41M crypto-driven PIPE with Qualigen Therapeutics
- Faraday Future expands into Web3, leading $41M Qualigen PIPE financing
- FFAI stock soars as $41M crypto deal cements Qualigen ownership control
Faraday Future Intelligent Electric Inc. (FFAI) rose by 5.36% during regular trading hours to close at $1.7700, and continued to climb another 3.91% in after-hours trading to $1.8392.
Faraday Future Intelligent Electric Inc. (FFAI)
FFAI Strengthens Position with PIPE Financing
Faraday Future confirmed it would lead a PIPE financing deal involving Qualigen Therapeutics’ common and preferred stock. The company committed approximately $30 million at an effective price of $2.246 per share. This agreement gives Faraday Future beneficial ownership of about 55% of Qualigen’s outstanding shares.
Faraday Future’s founder and global co-CEO YT Jia pledged a personal investment of $4 million. His stake represents roughly 7% ownership and includes a two-year lock-up commitment. The combined contributions strengthen Faraday Future’s influence in Qualigen’s business.
The total transaction size is valued at $41 million and includes other participants such as SIGN Foundation, which Binance Labs, Sequoia Capital, IDG, and Circle back. The financing adds credibility to the partnership while linking Faraday Future’s ecosystem with blockchain innovation.
Strategic Appointments and Governance Changes
Faraday Future’s executives will play leading roles in shaping Qualigen’s future. YT Jia will assume the position of Chief Advisor, while Jerry Wang will serve as co-CEO. Koti Meka, CFO of Faraday Future, will also take over as CFO at Qualigen.
Faraday Future gains the right to nominate two of five independent directors. If stockholders approve the proposal, that number could expand to four of seven board seats. These changes reflect a deeper integration between the two companies’ leadership structures.
With these adjustments, Faraday Future and its founder are expected to own over 62% of Qualigen collectively. This pro forma ownership significantly influences the company’s decision-making. The deal also secures long-term participation rights in Qualigen’s financing activities.
Dual Business Focus and Growth Outlook
The structure allows Faraday Future to focus resources on advancing its electric vehicle strategy. Qualigen will pursue growth opportunities in crypto and Web3-related ventures. This division is designed to create synergies and maximize shareholder value.
By channeling crypto activities through Qualigen, Faraday Future avoids additional dilution for its existing stockholders. The company positions itself as a bridge between electric mobility and digital innovation. This dual strategy leverages both established and emerging industries.
Univest Securities served as placement agent for the transaction, ensuring a structured process. Pryor Cashman represented Faraday Future, while Qualigen worked with Lucosky Brookman. The move signals a significant milestone as both companies expand into new growth areas.
