Arthur J. Villasanta – Fourth Estate Contributor
Newark, CA, United States (4E) – Lucid Motors has received a $1 billion investment from the Kingdom of Saudi Arabia’s sovereign wealth fund to ensure the commercial launch in 2020 of the “Lucid Air,” Lucid’s first electric vehicle (EV).
This company is one of the few American rivals to Tesla, Inc, the dominant EV maker in the world.
Lucid Motors said this massive investment from the Public Investment Fund (PIF) of Saudi Arabia is a major milestone on the path to production of the Lucid Air
The investment agreement with PIF was made using a special-purpose vehicle wholly owned by PIF. Under the terms of the agreement, Lucid Motors and PIF made binding undertakings to carry out the transaction subject to regulatory approvals and customary closing conditions.
The investment will provide Lucid Motors, which is based in Newark, California, with the necessary funding to commercially launch Lucid Air. Lucid plans to use the funding to complete engineering development and testing of the Lucid Air; build its factory in Casa Grande, Arizona; begin a global rollout of its retail strategy starting in North America, and enter production for the Lucid Air.
PIF said that by investing in the rapidly expanding EV market, PIF is gaining exposure to long-term growth opportunities; supporting innovation and technological development, and driving revenue and sectoral diversification for Saudi Arabia.
PIF said its international investment strategy aims to strengthen PIF’s performance as an active contributor in the international economy, an investor in the industries of the future and the partner of choice for international investment opportunities.
“Our investment in Lucid is a strong example of these objectives,” said PIF in a statement.
“The convergence of new technologies is reshaping the automobile, but the benefits have yet to be truly realized. This is inhibiting the pace at which sustainable mobility and energy are adopted,” noted Peter Rawlinson, Lucid’s Chief Technology Officer.
“At Lucid, we will demonstrate the full potential of the electric connected vehicle in order to push the industry forward.”
Rawlinson said Lucid’s mission is to inspire the adoption of sustainable energy by creating the most captivating luxury electric vehicles, centered around the human experience.
Lucid and PIF are strongly aligned around the vision to create a global luxury electric car company based in the heart of Silicon Valley with world-class engineering talent. Lucid will work closely with PIF to ensure a strategic focus on quickly bringing its products to market at a time of rapid change in the automotive industry.
Article – All Rights Reserved.
Provided by FeedSyndicate