EV startup Lucid (LCID) simply obtained one other $1 billion funding from Saudi Public Funding Fund (PIF) affiliate Ayar Third Funding Co. The brand new funding will assist help the launch of Lucid’s first electrical SUV, the Gravity, later this 12 months.
Lucid will get $1 billion funding forward of Gravity launch
“We’re extraordinarily happy to obtain this robust, continued help from the PIF, as we work to solidify our place because the world’s main EV expertise firm,” Lucid CEO Peter Rawlinson stated.
Lucid introduced an settlement with Ayar Third on Monday to buy $1 billion in newly created convertible most popular inventory.
Rawlinson known as PIFs help “a key differentiator” because it seems to speed up deliveries, cut back prices, and launch its first electrical SUV, the Gravity.
Lucid stated it’s going to use the brand new funds for common functions, together with capital expenditures and dealing capital.
Saudi Arabia’s PIF already owns a greater than 60% stake in Lucid. Since 2018, PIF has invested round $5.4 billion within the EV maker.
The information comes after Lucid introduced it expects to construct about 9,000 automobiles this 12 months, up solely barely from the 8,428 EVs produced final 12 months.
2024 Lucid Air (Supply: Lucid Motors)
Lucid’s 2023 deliveries fell far wanting its preliminary 10,000 to 14,000 aim, with solely 8,428 EVs handed over final 12 months.
Regardless of a web lack of $653.8 million, Lucid ended This autumn with over $4.3 billion in money equivalents and investments. To spice up gross sales, Lucid additionally slashed costs on the 2024 Air EV.
Lucid hopes its first electrical SUV, the Gravity, will help spark momentum. The Gravity is scheduled to enter manufacturing later this 12 months.
Lucid (LCID) inventory chart over the previous 12 months (Supply: TradingView)
Lucid inventory is up over 8% following the information, however LCID shares are nonetheless down over 60% over the previous 12 months.
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