Hyperdrive
EV Startups Are Wilting in Harsh Light of Public Eye
- Faraday Future, Electric Last Mile leaders resigned this week
- Many of the EV companies have been targeted by short-sellers
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Electric vehicle startups whose valuations soared after reverse mergers are facing greater scrutiny as public companies, triggering turmoil in their boardrooms.
A pair of would-be rivals to EV market leader Tesla Inc. have disclosed departures by senior executives for allegedly misleading investors. Faraday Future Intelligent Electric Inc., which went public via a blank-check company in July 2021, said late Tuesday its chairman and top lawyer would step down as a result of the findings of an internal probe into accusations of fraud. It also suspended its vice president of capital markets without pay until further notice.