SES’s Dying Biz Pivoting into Another AI Pipedream? Phantom Deals and a Related Entity Whose Registered Agent Was Allegedly Part of a $1 Billion Ponzi Scheme

We are short SES AI Corporation (NYSE: SES) because they have announced phantom deals and promoted an AI product (“Molecular Universe” ) that looks to us like a Chat GPT wrapper to distract from its impending loss of two major customers, Honda and Hyundai, at the end of 2025. To replace this massive hole in their income statement, SES has purchased UZ Energy, a Chinese Energy Storage System (ESS) provider, a low-margin China-based company whose US-based related entity used a registered agent who settled a bankruptcy-related case brought against him for allegedly participating in a $1 billion Ponzi scheme.

In January 2025, SES signed an MOU with Texas based retail energy provider AISPEX, projecting it would generate a “major portion of revenue for 2025” forecasting up to $45 million in revenue from the deal. A former employee told us, “the announcement [of the deal] was a complete surprise and then it was like nobody ever talked about it…they did nothing to fulfill it.” Import records show that the last shipment to AISPEX’s headquarters was in 2021 for PPE masks, delivered to a previous venture of AISPEX’s CEO at this same address. We visited AISPEX’s headquarters in Texas and found a shabby building and a yard littered with shipping containers; oddly, the sign on the building displays a different company’s name.

We believe SES’s recently announced “AI” joint venture with Hisun New Energy Materials is more smoke and mirrors. Hisun’s website depicts a large facility, which apparently was expected to start construction in May 2024 on a 200,000 square foot site with production starting in July 2025. Our due diligence indicates that the listed address remains undeveloped. Hisun’s US entity appears to only have one US employee per LinkedIn. Additionally, we found the company’s listed corporate address (pictured below) is a residential home.