Lucid Secures $1.5 Billion From Saudi Arabia's PIF As Mid-Size SUV Launch Nears

The Saudi Arabia Public Investment Fund (PIF) will inject an additional $1.5 billion into Lucid, providing much-needed funding for ongoing capital expenditures and operating capital. Ayar Third Investment Company, a wholly owned subsidiary of PIF, raised $750 million in convertible preferred shares through a private offering and a deferred-draw term credit facility.

Just a few months ago, the Saudis poured $1 billion into the company. With this new investment, they've put around $8 billion into the business and control about 60% of it. Lucid is really in need of these extra finances right now. 

With the launch of the Gravity SUV just around the corner, Lucid is getting its Arizona plant ready to crank out the new vehicle in the hopes that it will help boost overall sales. But the most crucial Lucid model won't be out until late 2026. In the mid-size SUV segment, this new model will go up against vehicles like the Cadillac Lyriq, Ford Mustang Mach-E, and Tesla Model Y.This model will be based on a new mid-size platform that has the potential to accommodate many models. Lucid CEO Peter Rawlinson has revealed a few more details about the entry-level model, including its smaller battery compared to the Air and Gravity. He also mentioned that using a smaller battery pack is a crucial measure to create a more affordable electric vehicle.

Unlike the Air and Gravity, Lucid will not manufacture the third model in the US. Instead, the AMP-2 plant in Saudi Arabia will manufacture and ship it all over the world.