$750 Million
Convertible Preferred Investment and $750
Million Delayed Draw Term Loan
NEWARK,
Calif., Aug. 5, 2024 /PRNewswire/ -- Lucid Group,
Inc. (NASDAQ: LCID) ("Lucid") announced today that it has
entered into agreements with its majority stockholder, Ayar Third
Investment Company ("Ayar"), an affiliate of the Public
Investment Fund ("PIF"), to (i) purchase $750 million of convertible preferred stock via
private placement, and (ii) provide for a $750 million unsecured delayed draw term loan
facility, subject to certain terms and conditions (the "Delayed
Draw Term Loan Facility").
Lucid has not borrowed under the Delayed Draw Term Loan
Facility.
The convertible preferred stock sold to Ayar in the private
placement will be sold, subject to customary closing conditions, in
reliance on the exemption from registration provided in Section
4(a)(2) of the Securities Act of 1933, as amended.
Lucid intends to use the net proceeds from the private placement
and any proceeds from the term loan for general corporate purposes,
which may include, among other things, capital expenditures and
working capital.
About Lucid Group
Lucid is a Silicon Valley-based technology company focused
on creating the most advanced EVs in the world. The flagship
vehicle, Lucid Air, delivers best-in-class performance and
efficiency starting at $69,900*. Lucid is currently preparing
its state-of-the-art, vertically integrated factory
in Arizona to begin production of the Lucid Gravity SUV.
The company's goal is to accelerate humanity's transition to
sustainable transportation and energy through the creation of the
most advanced EVs.
* Excludes tax, title, license, options, destination and
documentation fees. For U.S. market only.
Investor Relations Contact
investor@lucidmotors.com
Media Contact
media@lucidmotors.com
Trademarks
This communication contains trademarks, service marks, trade
names and copyrights of Lucid Group, Inc. and its subsidiaries and
other companies, which are the property of their respective
owners.
Additional Information
For additional information regarding the transactions, the terms
of the Credit Agreement, including with respect to pricing, the
convertible preferred stock and a copy of the form of certificate
of designations for such convertible preferred stock, please see
Lucid's Current Report on Form 8-K filed on August 5, 2024.
Forward-Looking Statements
This communication includes "forward-looking statements" within
the meaning of the "safe harbor" provisions of the United States
Private Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the use of words such as
"estimate," "plan," "project," "forecast," "intend," "will,"
"shall," "expect," "anticipate," "believe," "seek," "target,"
"continue," "could," "may," "might," "possible," "potential,"
"predict" or other similar expressions that predict or indicate
future events or trends or that are not statements of historical
matters. These forward-looking statements include, but are not
limited to, statements regarding Lucid's expectations related to
use of proceeds and the closing of the private placement to Lucid's
majority stockholder. These statements are based on various
assumptions, whether or not identified in this communication, and
on the current expectations of Lucid's management. These
forward-looking statements are not intended to serve as, and must
not be relied on by any investor as, a guarantee, an assurance, or
a definitive statement of fact or probability. Actual events and
circumstances are difficult or impossible to predict and may differ
from these forward-looking statements. Many actual events and
circumstances are beyond the control of Lucid. These
forward-looking statements are subject to a number of risks and
uncertainties, including those factors discussed under the heading
"Risk Factors" in Part II, Item 1A of Lucid's Quarterly Report on
Form 10-Q for the quarter ended June 30,
2024, as well as other documents Lucid has filed or will
file with the Securities and Exchange Commission. If any of these
risks materialize or Lucid's assumptions prove incorrect, actual
results could differ materially from the results implied by these
forward-looking statements. There may be additional risks that
Lucid currently does not know or that Lucid currently believes are
immaterial that could also cause actual results to differ from
those contained in the forward-looking statements. In addition,
forward-looking statements reflect Lucid's expectations, plans or
forecasts of future events and views as of the date of this
communication. Lucid anticipates that subsequent events and
developments will cause Lucid's assessments to change. However,
while Lucid may elect to update these forward-looking statements at
some point in the future, Lucid specifically disclaims any
obligation to do so. These forward-looking statements should not be
relied upon as representing Lucid's assessments as of any date
subsequent to the date of this communication. Accordingly, undue
reliance should not be placed upon the forward-looking
statements.
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SOURCE Lucid Group