– Lucid Group has secured $1.5 billion from Ayar Third Investment Co., an affiliate of Saudi Arabia’s Public Investment Fund (PIF), comprising $750 million in convertible preferred stock and a $750 million unsecured delayed draw term loan facility.

– This investment aligns with PIF’s objective to be a global investment powerhouse and supports Lucid’s mission to expedite the global transition to sustainable transportation by producing advanced electric vehicles.

– In Q2, Lucid reported $200.6 million in revenue with 2,394 vehicle deliveries, and anticipates manufacturing approximately 9,000 vehicles in 2024. The company ended the quarter with $4.28 billion in total liquidity.

US electric vehicle manufacturer Lucid Group has secured $1.5 billion in new funding from its majority shareholder, Ayar Third Investment Co., an affiliate of Saudi Arabia’s Public Investment Fund (PIF).

The funding arrangement includes $750 million in convertible preferred stock via private placement and a $750 million unsecured delayed draw term loan facility, subject to certain terms and conditions, according to a company statement.

This investment aligns with PIF’s goal to be a global investment powerhouse and the world’s most impactful investor, fostering the creation of new sectors and opportunities to shape the future global economy while advancing Saudi Arabia’s economic transformation.

It also supports Lucid’s mission to accelerate the global shift toward sustainable transportation and energy by producing the most advanced electric vehicles available.

“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 funds from the private placement and potential proceeds from the term loan will be used for general corporate purposes, which could include various activities such as investments and meeting working capital needs.

In conjunction with this funding announcement, Lucid Group also reported its financial results for the second quarter, which ended June 30.

The company posted revenue of $200.6 million, with deliveries of 2,394 vehicles during this period. Lucid expects to manufacture approximately 9,000 vehicles in 2024 and ended the second quarter with approximately $4.28 billion in total liquidity.

“Our Q2 financial performance reflects the positive momentum of increased sales of Lucid Air and the results of our cost reduction efforts, which contribute to the journey toward improving gross margin,” Dhingra noted.

Peter Rawlinson, CEO and Chief Technology Officer of Lucid, added: “I’m very encouraged by the sales and market share momentum we’re experiencing, the benefits we’re realizing from our cost optimization programs, and the excitement building around the Lucid Gravity launch, setting a strong foundation for the rest of the year.”