Lucid Group said on Wednesday that it is raising about $3 billion through a new equity offering, with the majority coming from the Saudi fund that controls the luxury electric-vehicle maker.
Shares of the company fell more than 6% after hours.
Lucid said that about $1.8 billion of the total will come from a private placement of stock with Saudi Arabia’s Public Investment Fund (PIF). The remainder will be raised through a public offering of new shares that commenced Wednesday, the company said.
The PIF owns about 60.5% of Lucid. The new funding round is structured to keep its stake at the same level.
Lucid said it will use the new cash for “general corporate purposes,” including capital expenditures and working capital.
Lucid had about $3.4 billion in cash and about $700 million in available credit lines as of March 31, according to its most recent report.
In 2016, Lucid unveiled its electric sedan called ‘Air’: 400 miles of range, 1000 hp, ‘autonomous-ready’ and ‘more than $100,000’ | Electrek
About the 2023 2023 Lucid Air
Several startups have launched EVs in an attempt to disrupt the transportation market, but the 2023 Lucid Air luxury sedan is one of the few so far that’s made a notable impact. Its big battery and compact motors—both designed in-house—allow it to deliver unbeatable range and great performance. The Grand Touring Performance model can jump to 60 mph in just 2.6 seconds or, when driven sedately, can sail on for 516 miles—its estimated driving range, according to the EPA. That’s enough range to get from Boston to Baltimore with electrons left over. More important, it’s more range than any other EV currently offers. The new Sapphire model is even quicker, with a claimed 60 mph time of under 2.0 seconds. The Air’s stylish exterior and spacious cabin add to its desirability, but its price tag had us expecting to find plusher materials inside. Almost all of the car’s controls are accessed through one of several display screens that dot the cabin, a reminder of Lucid’s Silicon Valley roots, and the software interface in the early cars is still a work in progress. Otherwise, the luxury four-door’s performance, driving range, and general snazziness make it a viable competitor for high-dollar EVs such as the Porsche Taycan and Mercedes-Benz EQS, as well as that other high-impact EV disruptor, the Tesla Model S.
