Dive Brief:
- Electric vehicle-maker Faraday Future Intelligent Electric appointed a new interim CFO, Jonathan Maroko, to replace interim CFO Yun Han, after she decided to resign from the top finance role effective July 5, according to a Tuesday company filing with the Securities and Exchange Commission. Han will continue at the company as chief accounting officer, the company said.
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The CFO change up comes as the Los Angeles, California-based company also announced in the filing that it will need to restate certain financial statements and that previously issued financial statements in the 10-K for the calendar year 2022 and 10-Qs for the periods ended March 31, 2023 and Sept. 30, 2022 “should no longer be relied upon due to errors,” primarily stemming from a non-cash and non-operating item related to the change in the fair value in the conversion of notes issued under the company’s securities purchase agreements.
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Maroko, 38, has more than 17 years of investment and finance experience, most recently serving as an external CFO for various growth companies, and he was also co-founder and portfolio manager for Mulholland Vista Capital Advisors. Maroko and Han will be part of a newly formed finance and capital markets team that will work on improving FF’s investment and financing management and internal controls.
Dive Insight:
The audit committee, along with management, discussed with its public accounting firm Mazars USA the disclosures in the filing outlining the restatement issue. The company expects to file its restated financial statements from the affected periods “as soon as reasonably practical.”
Maroko will receive an annual base salary of $400,000 and a signing and retention bonus consisting of $200,000, payable in two cash installments, on his start date and after he has served 12 months with the company.
The electric start-up firm has faced a myriad of headwinds as it has sought to be one of the challengers for a spot in the growing EV market. But last September it got a lifeline when it obtained up to $100 million in financing to fund operations after resolving a governance dispute with one of its largest shareholders, according to The Wall Street Journal.
