Electric Carmaker Lucid Raising About $3B With New Money From #Saudi Owners - Bloomberg

Electric Carmaker Lucid Raising About $3B With New Money From Saudi Owners - Bloomberg

Lucid Group Inc. is raising about $3 billion in a common stock offering with the majority of the money coming from the electric vehicle maker’s Saudi owners after a more than 60% stock slump in the last year. The shares plunged more than 7% in extended trading.

The company announced the raise along with a corresponding investment by its owners — Saudi Arabia’s Public Investment Fund — in a statement, confirming an earlier Bloomberg News report. PIF, the kingdom’s largest sovereign wealth fund, is purchasing $1.8 billion of the stock in a private placement.

A Lucid Air electric vehicle

Photographer: Angel Garcia/Bloomberg

The fund already owns about 60% of Newark, California-based Lucid, according to data compiled by Bloomberg. Bank of America Corp. is acting as the sole book-running manager for the public offering.

“Lucid intends to use the net proceeds from the public offering, as well as from the private placement by its majority stockholder, for general corporate purposes,” the company said.