January 29, 2021
SHANGHAI/TAIPEI (Reuters) – China’s Zhejiang Geely Holding Group said on Friday it and Foxconn are in talks to provide contract manufacturing services to electric vehicle maker Faraday Future.
Geely said in a statement that it had signed a framework agreement to offer technology and engineering support to Faraday Future, and had become a minority investor in Faraday Future’s listing.
Foxconn declined to comment on the manufacturing partnership.
Reuters reported on Monday that Faraday Future plans to set up a new base in China and enlist Geely for contract manufacturing services, citing people familiar with the matter.
Faraday Future will go public through a merger with Property Solutions Acquisition Corp in a deal valuing the combined entity at $3.4 billion.
With the global EV business, dominated by the likes of Tesla Inc, growing at an explosive pace, a flurry of EV makers are rushing to tap the red-hot initial public offering (IPO) market.
(Reporting by Yilei Sun and Ben Blanchard; Editing by Robert Birsel)