![]() It plans to offer more affordable versions of the Air from 2022 and later will build a battery-electric SUV. The Air EV, which the company says can do more than 500 miles on a single charge, will be built at a factory in Casa Grande, Arizona. Lucid plans to start deliveries of a $169,000 electric sedan to U.S. It pivoted in 2016, changed its name to Lucid, and began work on what would become its main model, the Air. The company was founded in 2007 under the name Atieva and spent years being more focused on battery technology than pursuing development of a luxury car. Backers include Public Investment Fund, Saudi Arabia’s sovereign wealth fund, which has invested more than $1 billion in the company. Lucid targets the luxury end of the market and its chief executive officer, Peter Rawlinson, was previously Tesla’s chief engineer on the Model S sedan. ![]() ![]() went public via blank-check deals last year. is in talks to merge with Property Solutions Acquisition Corp., people familiar with the matter said this week, while Nikola Corp. Lucid would be one of the most established electric vehicle companies to take this route.įaraday & Future Inc. This month he raised an extra $1.68 billion in two further Churchill Capital deals – Churchill Capital VI and VII.Several electric vehicle makers have done deals with SPACs as startups seek to bulk up and raise cash to compete with industry leader Tesla Inc. Some deals such as Fisker have delivered for SPAC investors, but others such as Nikola have given up their short-term gains.įormer Citigroup dealmaker Michael Klein has raised a string of SPACs which have done deals for companies including healthcare-services company MultiPlan and analytics firm Clarivate. It should be noted that while share prices in both. Investors keen on SPACs are on the hunt for electric vehicle startups, hoping to identify the next Tesla. Hyzon Motors announced a merger with Decarbonization Plus (DCRB) SPAC on Tuesday and last year Nikola (NKLA) merged with VectoIQ SPAC. To help fund construction of a US assembly plant in Arizona, Lucid was boosted by a $1 billion investment in 2018 by Saudi Arabia’s Public Investment Fund. ![]() It was funded initially by Chinese and Silicon Valley venture investors, with additional funding from backers like state-owned Chinese automaker BAIC Motor and Chinese technology company LeEco. Lucid Motors was founded in 2007 as Atieva by former Tesla executive Bernard Tse and entrepreneur Sam Weng. The report about a potential deal with Lucid has now proved correct, which may prompt regulatory investigation about information leakage, though much of the price surge was driven by speculation on Reddit and other social media. With the Air getting stellar reviews and showing promise for the company as a whole, the companys stock price saw a significant gain. In October 2021, early adopters got the first shipment of Lucid Air vehicles. SPACs typically trade relatively close to their normal listing price of $10 until a target is announced but the increasingly frothy market for the financing vehicles is leading to greater price volatility. It was founded in 2007, and it merged with a special purpose acquisition company (SPAC) in February 2021. It rose by over 300% after after a report emerged in January about a potential deal with Lucid, in an unusually sharp jump for a SPAC price. Churchill Capital IV and Lucid did not comment.Ĭhurchill Capital IV’s stock on the NYSE rose by 31.8% on the day and closed at $52.70 on Tuesday. If the PIPE fundraising concludes successfully, a deal could be announced as early as this month, according to the sources. Lucid and Klein have agreed on the key terms of the deal, according to the sources. These funds would be in addition to the $2 billion Churchill Capital IV raised in an initial public offering (IPO) in July on the New York Stock Exchange (NYSE). The size of the PIPE could reach $1.5 billion or more based on investor demand, a source added. Chinese backers including BAIC Motor and LeEco could gain from a deal.Ī merger between Lucid Motors and Klein’s Churchill Capital IV would be the biggest in a string of deals by electric vehicle makers such as Nikola and Fisker that have gone public by combining with SPACs.Ĭhurchill Capital IV has initiated talks with investors to raise more than $1 billion by selling shares in a private investment in public equity (PIPE) transaction for the deal with Lucid, Reuters reported on Tuesday February 16. (ATF) Electric vehicle (EV) firm Lucid Motors is close to a deal to go public at a roughly $12 billion valuation via Michael Klein’s special purpose acquisition company (SPAC) Churchill Capital IV.
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