Lucid Receives $1.5 Billion Investment from Saudi Arabia
The Saudi Arabia Public Investment Fund (PIF) has announced an additional investment of $1.5 billion into Lucid, the electric car manufacturer. This investment will provide vital funding for ongoing capital expenditures and working capital.
Saudi Arabia’s Investment in Lucid
- The oil-rich nation has invested roughly $8 billion into the marque over recent years.
- Saudi Arabia owns roughly 60% of Lucid, and the carmaker is building a factory in the country.
- Lucid’s planned third model, a mass-market EV, will be made in the Saudi plant.
The investment from the Saudi Arabia Public Investment Fund comes in the form of $750 million of convertible preferred stock via private placement and a $750 million unsecured delayed draw term loan facility. This latest investment follows a previous $1 billion cash injection from the Saudis, bringing their total investment in Lucid to approximately $8 billion and giving them a 60% ownership stake in the company.
Lucid’s Future Plans
Lucid’s current flagship model, the Air, has received critical acclaim for its luxury features and innovative technologies. However, it has not achieved significant sales numbers. The company is hopeful that its upcoming Gravity SUV, which will be produced at its factory in Arizona, will help boost overall sales.
In addition, Lucid has announced plans to release a mid-size SUV priced below $50,000 in late 2026. This model will compete with popular electric SUVs like the Tesla Model Y, Cadillac Lyriq, and Ford Mustang Mach-E. It will be built on a new mid-size platform that has the potential to support multiple models.
Unlike the Air and Gravity, Lucid’s third model will not be produced in the United States. Instead, it will be manufactured at the company’s AMP-2 facility in Saudi Arabia and exported internationally.
Overall, the $1.5 billion investment from Saudi Arabia will provide Lucid with the necessary funds to continue its expansion and development of electric vehicles. With the support of the Saudi Arabia Public Investment Fund, Lucid aims to establish itself as a major player in the EV market.
