Tesla Challenger Lucid Secures Funding From Sovereign Wealth Fund
Electric vehicle maker Lucid Group has announced it has completed its previously announced “at-the-market” equity offering program.
Through the program, Lucid sold more than 56.2 million shares of its common stock for gross proceeds of approximately US$600 million.
The successful capital raise of approximately US$1.515 billion, which includes approximately $915 million that Lucid expects to raise through the private placement of approximately 85.7 million shares to an affiliate of Saudi Arabia’s Public Investment Fund Ayar Third Investment Company (Ayar).
Pending settlement in December 2022, the capital raised will be used for general corporate purposes, which may include, among other things, capital expenditures and working capital.
The price that Ayar is paying in the private placement equals the volume-weighted average price achieved in the “at-the-market” offering.
This private placement is not a part of the “at-the-market” offering and is in addition thereto. Subject to certain exceptions, Ayar has agreed not to, among other things, offer, sell, pledge or otherwise transfer any shares of our common stock for six months after the date of the private placement.
Lucid expects that the additional capital raised will further strengthen its balance sheet and liquidity position.
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