Lucid Group to raise US$ 3 billion primarily from PIF: Report
PIF, which has over a 60% interest in the company, has okayed securing 265.7 million shares via a private placement for roughly US$ 1.8 billion.
Luxury EV maker Lucid Group says it aims to secure US$ 3 billion via stock offerings, with (PIF) slated to contribute a major chunk of capital for the fundraise, Reuters reported.
PIF, which has over a 60% interest in the company, has okayed securing 265.7 million shares via a private placement for roughly US$ 1.8 billion, the company said as per a statement. The remainder will be raised via a public offering comprising 173.5 million shares of common stock, the newswire reported.
Media reports say that the placement implies US$ 6.8 per share, as compared to yesterday’s closing of US$7.76.
This news, first reported by Bloomberg News, comes on the back of rising losses for the auto firm and tightening cash reserves in a choppy economy.
Media reports said that Bank of America Corp is the book-running manager, and Lucid will use the capital raised for corporate purposes.
Lucid is on top of the US investments that PIF has made, as Saudi Arabia aims to curtail dependence on oil revenues.
RELATED ARTICLES
Skoda begins sale of made-in-India CKD Kushaq in Vietnam
Before production started, pre-series Kushaq vehicles covered over 330,000 kilometres on a variety of Vietnamese roads a...
Six Japanese companies join forces to expand use of recycled materials in new vehicles
Denso, Toray Industries, Nomura Research Institute, Honda Motor, Matec Inc and Rever Corporation have set up the BlueReb...
BYD selects Voestalpine as steel supplier for its Hungarian plant
The announcement of the Austrian steelmaker as a supplier demonstrates BYD’s strategic plan to source from high-quality,...