In an airshow, a sign is placed on the outside of Lucid’s headquarters on March 29, 2023 in Newark, California. Electric car maker Lucid announced plans to lay off 1,300 workers, 18 percent of its workforce, as part of a restructuring plan.
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Lucid Group said on Wednesday it is raising about $3 billion through a new stock offering, the majority coming from the Saudi fund that controls the luxury electric car maker.
Shares of the company fell more than 6% after hours.
Lucid said about $1.8 billion of the total will come from a private placement of shares with the Public Investment Fund of Saudi Arabia. The company said the remaining amount will be raised through a public offering of new shares that began on Wednesday.
The Public Investment Fund owns about 60.5% of Lucid. The new financing round is designed to keep its share at the same level.
Lucid said it will use the new cash for “general corporate purposes,” including capital expenditures and working capital.
Lucid had about $3.4 billion in cash and about $700 million in lines of credit available as of March 31, according to its most recent report.