Lucid Group, a US-based electric vehicle manufacturer, has secured $1.5 billion in new funding from Ayar Third Investment Co., an affiliate of Saudi Arabia’s Public Investment Fund (PIF). This investment includes $750 million in convertible preferred stock through a private placement and a $750 million unsecured delayed draw term loan facility, subject to specific terms and conditions.

This funding aligns with PIF’s goal to become a global investment leader and drive Saudi Arabia’s economic transformation by creating new sectors and opportunities. It also supports Lucid’s mission to accelerate the global transition to sustainable transportation by producing advanced electric vehicles.

Gagan Dhingra, Interim Chief Financial Officer and Principal Accounting Officer at Lucid, stated, "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."

The funds from the private placement and potential proceeds from the term loan will be used for general corporate purposes, including investments and meeting working capital needs.

Lucid also reported its financial results for the second quarter, ending June 30, with revenue of $200.6 million from the delivery of 2,394 vehicles. The company expects to manufacture approximately 9,000 vehicles in 2024 and ended the second quarter with around $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 added.

Peter Rawlinson, CEO and Chief Technology Officer of Lucid, expressed optimism about the company's progress, stating, "I’m very encouraged by our sales and market share momentum, the benefits from our cost optimization programs, and the excitement building around the Lucid Gravity launch."

Rawlinson also highlighted the company's technological achievements, noting, "Our achievement of a landmark efficiency of 5.0 miles per kilowatt hour, ahead of where we anticipated, is further proof of our leadership as a technology company."

In September 2023, Lucid opened its first plant outside the US in Saudi Arabia, with an initial capacity of 5,000 EVs annually.