NEWARK, Calif. - Lucid Group, Inc. (NASDAQ: NASDAQ:LCID), a Silicon Valley-based electric vehicle (EV) manufacturer, announced today that it has reached an agreement with its majority stockholder, Ayar Third Investment Company, an affiliate of Saudi Arabia's Public Investment Fund (PIF), for a substantial financial investment. The deal includes a $750 million investment in convertible preferred stock and a $750 million unsecured delayed draw term loan facility.
The company has not yet borrowed under the term loan facility. The convertible preferred stock issuance is subject to standard closing conditions and is exempt from registration under the Securities Act of 1933, as per Section 4(a)(2).
Lucid intends to allocate the net proceeds from this private placement and any future proceeds from the term loan towards general corporate purposes. These may encompass capital expenditures and working capital, among other uses.
Lucid is known for its flagship EV, the Lucid Air, which is touted for its leading performance and efficiency with a starting price of $69,900, excluding various fees and taxes applicable to the U.S. market. The company is currently gearing up its Arizona factory to start production of the Lucid Gravity SUV and is committed to advancing the transition to sustainable transportation and energy with its EV technology.
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