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Electric vehicle company Lucid Motors reveals $ 11.8 billion in blank check merger

The Lucid Air sedan, which is scheduled to begin production next year at a plant under construction in Arizona.

Lucido

Electric car company Lucid Motors Through a reverse merger with a blank check company initiated by veteran investment banker Michael Klein, the company will publish a total of $ 11.75 billion in valuation and $ 24 billion in proforma stock value.

With Lucid, based in Newark, California Churchill Capital Corp IV Is the largest of a series of such alliances involving EV companies and blank check companies, also known as special purpose acquisition companies (SPACs).

Previous SPACs deal with EV startups such as: Nicola, Fisker And Rhodes Town Motors With a proforma rating of less than $ 4 billion, Lucid is far ahead of those companies. Lucid will offer the first vehicle – Luxury sedan called Air ――This spring.

The transaction will generate approximately $ 4.4 billion in cash for Lucid’s expansion plans, including its current plant in Arizona.

Share CCIV Expansion transactions fell by about 30% to $ 40.

Lucid is the originalTesla Engineering executive and automotive veteran Peter Rawlinson joined the company in 2013 as Chief Technology Officer and appointed CEO in April 2019. According to the two companies, the deal will be signed in the second quarter and will continue to play these roles. ..

Lucid was founded in 2007 as Atieva. This is the name currently used for engineering and technology arms that supply batteries to Formula E in electric racing circuits. The company first focused on battery technology before renaming and moving to an electric vehicle manufacturer in 2016. , Three years after Rawlinson joined the company to lead technology development.

Lucid received $ 1 billion from the Saudi Arabian sovereign wealth fund and had some difficulty raising funds to fund the plan until September 2018.

Rawlinson described the SPAC transaction as a quick fund last year, but because it doesn’t have enough capital to produce the vehicle in-house. Fisker Find a consignment manufacturer.

Prior to the announcement with Klein’s company, Rawlinson said he had the funds to start producing air at its Casa Grande, Arizona plant, southeast of Phoenix.

The new funding is expected to support Lucid’s expansion plans. Rawlinson hopes to catalyze the entire electric vehicle lineup of the future, including SUVs that went into production in early 2023 and more affordable vehicles.

According to the company, Lucid currently employs nearly 2,000 people and plans to add 3,000 more employees in the United States by the end of 2022.

The transaction includes a total investment of approximately $ 4.6 billion. Funded by CCIV in $ 2.1 billion in cash, funds and accounts managed by Sovereign Wealth Fund in Saudi Arabia, BlackRock, Fidelity and others through a fully committed PIPE of $ 2.5 billion at $ 15 per share.

Electric vehicle company Lucid Motors reveals $ 11.8 billion in blank check merger

Source link Electric vehicle company Lucid Motors reveals $ 11.8 billion in blank check merger

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