Lucid gets $1.5 billion investment from Saudi’s PIF

Saudi Arabia’s Public Investment Fund has committed $1.5 billion in new funding to Lucid Group, making its third largest investment in the EV maker.

The new investment includes the purchase of $750 million of convertible preferred stock via placement. And provide for a $750 million unsecured delayed draw term loan facility. The investment is made by PIF affiliate Ayar Third Investment Company and is subject to customary closing conditions.

PIF’s initial investment in Lucid amounted to $1 billion in 2018 and solidified it as a major shareholder in the automaker. In the first quarter of this year, PIF invested $1 billion in Lucid.

In the second quarter of this year, Lucid delivered 2,394 vehicles with a 21.7% sequential and 70.5% year-over-year increase. These new sales are registered primarily in North America.

Lucid Gravity (Image Source – Lucid)

On the other hand, the carmaker is enhancing production capacity and produced 2,110 vehicles in Q2 with 9,000 total vehicle production this year.

“The additional $1.5 billion commitment by an affiliate of the PIF announced today is expected to provide sufficient liquidity into at least the fourth quarter of 2025,” said Gagan Dhingra, Interim Chief Financial Officer and Principal Accounting Officer at Lucid.

The new investment will also help the company to drive through the reproduction of the new Gravity SUV. This new electric car will debut later this year along with sales.

(source – Lucid)