Faraday Future Intelligent Electric, the EV startup, reported a series of "suspicious activities" that it believes indicate a coordinated effort to undermine its valuation and is planning on legal action if any illegal short selling or market manipulation is found.
Alleging that attempts had been made to disseminate false information and manipulate market sentiment, the EV car manufacturer was unable to provide any specific details when asked.
Following a period of ongoing turmoil for the EV maker, including the resignation of its interim finance chief in July, the company said it plans to restate its financial statements for 2022 and the first quarter of 2023 due to identified errors.
Faraday Future has grappled with financial challenges, a governance dispute with a major shareholder (FF Top Holding) which in turn resulted in board changes, and delivery delays for its FF 91 2.0 Futurist Alliance vehicle, the first of which was delivered in August.
Faraday shares lifted close to 15% higher in pre-market trading on Friday, having closed at a little under US$3.90.