Lucid Group Secures $1.5 Billion Investment from Saudi PIF Affiliate

An affiliate of Saudi Arabia’s Public Investment Fund (PIF) has committed $1.5 billion to Lucid Group, which announced its second-quarter results with revenues of $200.6 million.

The Nasdaq-listed company disclosed that it has entered agreements with its majority stockholder, Ayar Third Investment Company—an affiliate of Saudi Arabia’s $925 billion PIF—to purchase $750 million of convertible preferred stock through private placement. Additionally, Ayar will provide a $750 million unsecured delayed draw term loan facility, subject to specific terms and conditions.

Lucid intends to utilize the net proceeds from the private placement and any funds from the term loan for general corporate purposes, including capital expenditure and working capital.

“We ended the second quarter with $4.28 billion in total liquidity and remain committed to maintaining a healthy balance sheet to execute on our strategic vision. The additional $1.5 billion commitment by an affiliate of the PIF is expected to provide sufficient liquidity into at least the fourth quarter of 2025,” said Gagan Dhingra, Interim CFO and Principal Accounting Officer at Lucid.

This investment by Ayar follows the PIF affiliate’s earlier announcement in March to purchase $1 billion of a newly created series of convertible preferred stock via private placement.

Source: Bindu Rai / Zawya