Even before putting its first electric vehicle models in the hands of consumers, something expected to happen later this year, Lucid Motors, an American company founded in 2007, intends to go public on the stock exchange, according to Engadget.
To this end, it will merge with a “special purpose acquisition” company, Churchill Capital Corp IV (CCIV), which will provide $ 4.4 billion in cash. The union’s market valuation will reach the impressive $ 11 billion mark if the action is successfully completed.
Considering that private investment in the business is valued at $ 15 per share, Lucid’s implied equity value is $ 24 billion.
In 2020, the year in which the debutant’s first factory was completed in Arizona, United States, and which is expected to produce 400,000 cars annually, others followed the same movements, such as Nikola and Fisker. In January, Faraday Future announced a similar agreement.
“Lucid is going public to accelerate to the next phase of growth as we work on the launch of our new all-electric luxury sedan, Lucid Air, in 2021, followed by our Gravity luxury SUV in 2023,” said the company.
Incredible as it may seem, after weeks of circulation of merger / IPO reports and a 470% increase in Churchill’s share prices, with the deal being made official, the values fell 30%.
In any case, the transaction, says Lucid Motors, will also assist the expansion projects of the unit in the USA, initially financed by the Saudi Arabian Public Investment Fund (PIF).
“This transaction also allows the realization of our vision of providing Lucid’s advanced EV technologies to third parties, such as other automotive manufacturers, as well as offering energy storage solutions in the residential, commercial and utilities segments,” concludes the statement from automaker.