PANews reported on September 20th that Faraday Future announced a strategic investment of $41 million in Qualigen Therapeutics, Inc. (NASDAQ: QLGN) through a private equity (PIPE) transaction, with the intention of launching cryptocurrency and Web3-related businesses. Following the completion of the necessary shareholder approval process, QLGN is expected to change its name to CXC10 and focus on its three growth engines: cryptocurrency and Web3 ecosystem development. The PIPE financing round was led by Faraday Future and its founder and global co-CEO, Jia Yueting, with participation from blockchain technology company SIGN Foundation. FF President Wang Jianjun also participated in the round.
Faraday Future has agreed to invest approximately $30 million in QLGN at an effective price of $2.246 per share, subject to closing conditions, representing approximately 55% of QLGN's outstanding common stock. In addition, Jia Yueting plans to personally invest approximately $4 million, representing approximately 7% of QLGN's common stock. Jia Yueting has also agreed to a voluntary two-year lock-up period on his personal investment. Upon completion of the transaction, Jia Yueting will serve as QLGN's Chief Advisor, Wang Jianjun will be appointed Co-CEO of QLGN, and FF CFO Koti Meka will be appointed CFO.
