Key Highlights

  • The company terminated warrants to buy 5,359,525 shares of common stock.
  • The amendment divides the pending closing into eight separate subsequent closings.
  • All but one investor are relieved from receiving additional common warrants.

Faraday Future Intelligent Electric Inc. (NASDAQ: FFAIW) announced a restructuring of its capital raising plan on July 9 2026. The amendment revises the original securities purchase agreement and includes a broad warrant cancellation that will affect millions of shares.

Amended Purchase Agreement

The new Amended and Restated Securities Purchase Agreement replaces the earlier July SPA. It reorganizes the upcoming financing round and eliminates the requirement to issue common warrants to every investor, retaining the obligation for only a single participant. This amendment also lifts the need to register shares that could be issued upon conversion of the unsecured notes.

Closing Structure Revised

Instead of a single second closing, the company will now execute eight distinct subsequent closings, culminating in a final closing as the eighth event. This phased approach provides flexibility for capital deployment and aligns with investor timelines.

Warrant Termination

On July 8 and July 9 2026, Faraday Future entered into mutual termination agreements with holders of outstanding purchase warrants. The agreements cancel warrants covering an aggregate of 5,359,525 common shares that were originally issued under agreements dated December 21 2024 and March 21 2025.

Documentation References

The amendment references the A&R Warrants identified by reference numbers 10.1 and 10.2. Corresponding warrant documents are cataloged under reference numbers 10.1, 10.2, and 4.1, with an additional reference number 4.2 noted in the filing.

Impact on Investors

Investors will no longer receive common warrants from the upcoming closings, except for one designated participant. The removal of registration obligations for convertible shares simplifies the resale process for holders of the unsecured notes.

Regulatory Filing Summary

The filing complies with the Securities Exchange Act of 1934, and the company’s authorized signatories have executed the amendment. The updated terms will become effective upon completion of the first subsequent closing.

This article is for informational purposes only and does not constitute financial advice. Please consult a licensed financial adviser before making investment decisions.