(RTTNews) – Faraday Future Intelligent Electric Inc. (FFAI) announced a strategic investment of $41 million in Qualigen Therapeutics Inc. (QLGN) during its Annual 919 Event, aimed at advancing its crypto business focused on three growth engines.
The investment will be led by Faraday Future, together with Founder & Global Co-CEO YT Jia, with other investors including SIGN Foundation, a blockchain technology company backed by Binance Labs, Sequoia Capital (US, India, China), IDG, and Circle, building software infrastructure for governments and the next generation of capital markets.
Faraday Future Intelligent Electric said it will invest about $30 million and receive about 55% of QLGN’s common stock on a pro forma basis. With a loan from FFGP, YT Jia will invest $4 million dollars and receive about 7% of QLGN’s common stock on a pro forma basis. As a cornerstone investor, YT will lock up his shares for two years.
FF plans to gradually start to assign management teams to lead the relevant business activities. YT Jia will also serve as a chief advisor to QLGN, and FF Global President Jerry Wang is expected to be appointed as the Co-CEO of QLGN. After the transaction is completed, FF will have the right to nominate two of five QLGN directors. If the investment is approved by QLGN stockholders, FF’s nomination rights could increase to four of seven board seats.
After completing the required approval process, QLGN is expected to be rebranded as CXC10.
CXC10 is expected to focus on its Three Growth Engines in Crypto and ecosystem buildup for Web3, targeting to become into the top U.S. public company converging Web2 and Web3, as well as AI and crypto.
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