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.