Saudi PIF pumps another $1.5 billion into Lucid Motors
The California-based EV maker reported Q2 earnings, beating analyst expectations with $200 million revenue after delivering 2,394 cars
An EV made by Lucid Motors, which is majority owned by the PIF, is displayed during the Geneva Motor Show. (Photo: Getty Images)
Saudi Arabia’s Public Investment Fund has pumped another $1.5 billion into electric vehicle start-up Lucid Motors ahead of the launch of its first SUV later this year.
The PIF, which already has a 60% stake in California-based Lucid after investing about $8 billion over several years, will buy $750 million in convertible preferred stock and provide a $750 million loan facility through Ayar, an affiliate investment company.
Nasdaq-traded Lucid reported Q2 earnings yesterday, recording a $790 million net loss, but beating analyst expectations with $200 million revenue after delivering 2,394 cars in the quarter.
The EV maker expects to produce 9,000 cars for 2024, with the launch later this year of the Gravity SUV, priced at around $80,000, which is likely to diversify its potential customer base.
Saudi Arabia has been scouring the globe for potential supplies of lithium, a critical mineral used in battery production, as it attempts to become a major regional EV manufacturer, with Lucid opening a factory in the kingdom last year.
Bandar Alkhorayaf, Saudi Arabia’s Minister of Industry and Mineral Resources, toured Brazil and Chile over the past two weeks looking for mining investment opportunities.
As a result, the kingdom is eyeing a collaboration with Chilean state-owned miner Codelco to develop lithium deposits.