Faraday, the electric car brand, hopes to find partners in China to boost the production of the FF91. On December 30th Carsten Breitfeld, who had been chief executive of Faraday Future for four months, gave a small media interview in Beijing, including journalists.
Bi Fukang said that the main task of coming to China is to negotiate with some Chinese investment institutions, as well as meet with domestic car companies to discuss THE production of FF 91 in China.
According to its plan, FF wants to establish a joint venture with a Chinese partner, the partner in the cooperation to put the factory, FF provides technology, “there are many automobile manufacturing plants in China underutilized production capacity, so FF is not prepared to invest heavily in assets to rebuild the plant.” We will seek partners to produce our products. “
Bi Fukang also talked about the progress of Jia Yueting’s personal debt restructuring, saying Jia Yueting wants to return home as soon as possible, “Our next step is to ensure that his personal debt restructuring can be completed so that he can return to China.” Once the debt restructuring is over, he can further his plans for the Chinese market and marketing. “
On the same day, just as Tesla’s Shanghai plant delivered its first 15 domestic model models to employeeowners, Bifukang also congratulated Tesla, “It just started the project a year ago, and it’s moving very fast, proving that China’s capabilities can’t be as fast as China’s anywhere in the world.” “
And now, FF is looking forward to the acceleration of mass production, all on the premise that money is in place.
Talk about FF production and financing planning:
Looking for partners to establish joint ventures in China
According to FF’s previously announced plan, the FF 91 will be delivered to the first order user next year, with an initial annual production capacity of 10,000 vehicles, expanding to 100,000 units a year, depending on the order situation. The FF91 model will sell for about $200,000. The FF81 models produced on the same platform will use smaller sizes and slightly shorter ranges to generate more sales at lower prices. The FF81, positioned like the Tesla Model S, will be pre-production by the end of next year.
FF’s plant in Hanford is smaller and is expected to produce about 30,000 vehicles a year, while FF is looking for partners in China to set up joint ventures, Mr. Bisaidon said. These partners can use existing plant resources for production, “I think the joint venture is a win-win situation.” “
There are still some concerns about FF, both for potential investors and potential partners.
On the one hand, mr. Bi said, the concern is in the electric car industry itself, which requires a lot of investment and competition, “the capital market is concerned about the EV (electric vehicle) industry.” “
On the other hand, investors are also worried about the impact of Jia Yueting’s personal debt on the company. But Mr Bi believes Mr Jia’s push for a personal bankruptcy restructuring means the problem is being solved.
“If investors see that the problem can be solved, then our financing can be solved, and we are communicating with potential investors in the United States, the international world and China, who sit in a more positive manner.” “
But Bifukang did not give details of the financing, saying only that it “hopes to see progress in the coming month” and “hopes for good results in the first quarter of 2020.” “FF’s workforce is currently 400 people, and Mr Bifukang says the next step in mass production can be carried out as soon as funding is in place. In previous interviews, the FF’s funding needs raised about $850 million in the first quarter of 2020.
FF’s IPO plans are also planned, which Biffon believes could happen in 2021.
Bifukang is confident that the FF91 will remain competitive three years after its launch in January 2017.
Bifukang mentioned that the overall investment environment is not good, but FF has its technology and IP, FF can realize the technology, attract some investment. Earlier, Fiat Chrysler Group (FCA) and FF had held talks to use their technology to produce FCA electric cars, according to US technology website The Verge.
At present, FF’s operating capital is mainly dependent on debt financing.
Talk about Jia Yueting’s personal bankruptcy reorganization:
Most of the creditors are very supportive of us,
Jia Yueting hopes to return home as soon as possible
The personal debt of Faraday’s future founder Jia Yueting remains a shadow over FF’s development.
“I personally participated in the discussion process, and most of the creditors were very supportive of us and wanted to stand with the company after the debt restructuring, ” Bi said, referring to a meeting of creditors convened by Jia Yueting. Bifukang also revealed that two creditors have offered to participate in additional investments in the company after the debt restructuring.
Regarding Jia Yueting’s personal bankruptcy restructuring, “95 per cent of creditors understand the restructuring plan and are very receptive to it.” There are some creditors who have been discredited by the whole process because of personal entanglements, but overall, the creditors are very positive. “
Earlier, a Delaware bankruptcy court judge ruled to transfer Jia Yueting’s personal bankruptcy reorganization case to the United Bankruptcy Court for the Central District of California. California) processing. “Work is already starting in California, and we hope the delay won’t take more than two to three weeks,” Bifucon said. The final vote should take place in late January or early February, and I hope that the entire process will be completed by the end of February, no later than March. “
Mr. Bi said Mr. Jia wanted to return home as soon as possible, “and our next step is to make sure that his personal debt restructuring can be completed so he can return to China.” Once the debt restructuring is over, he can further his plans for the Chinese market and marketing. “
“I didn’t realize before that the FF problem was so big, ” Bifukang said. “Bifukang made an analogy, FF is like a boat with holes in the hull, ” the water kept coming in, some holes are relatively large, but I can now as a team leader to give feedback that the ship is not sinking, what we are going to do now is to clear the water out. “
“We need to tell these people how much water there is, how much water is sinking, and we need to be very honest about whether these people choose to get on or off the boat, ” Mr Bifukang said. “