Two 2024 Lucid Air Stealth luxury sports sedan EVs are pictured in promotional materials provided by the California-based automaker. Photo by Lucid Group
California-based Lucid Group’s shares price dropped by 10% during after-hours trading Wednesday after announcing larger-than-expected operational losses during the third quarter.
Lucid officials in a securities filing made Wednesday announced an operational loss of between $765 million and $790 million during the third quarter. Advertisement
The announced operational loss exceeded analysts’ expectation of a $752 million loss.
Lucid reported it had $5.16 billion in liquidity, including $4.03 million in cash and equivalents, as of Sept. 30. The EV firm will report its third-quarter earnings on Nov. 7.
Lucid officials also announced a public offering of 262.5 million shares of common stock at the same time the EV-maker’s majority shareholder announced it would buy 374.7 million shares of common stock in a private transaction.
Saudi Arabia-based Ayar Third Investment Company is Lucid’s majority shareholder and Saudi Arabia’s public investment fund.
Ayar officials are expected to maintain the fund’s majority ownership of 58.8% of Lucid outstanding common stock, according to Lucid.
Lucid in August announced Ayar would invest $1.5 billion to ensure the automaker would stay in business at least through 2025 while providing a financial cushion after Lucid shares dropped by 22% in 2024. Advertisement
BofA Securities is underwriting the public offering, and Lucid will give the firm a 30-day option to buy almost 39.37 million shares of common stock.
Lucid’s stock priced closed Wednesday at $3.28 but dropped 10% during after-hours trading. Lucid has a market cap of $7.6 billion and 2.32 billion shares outstanding.
The EV automaker first made its four-door Lucid Air luxury sports sedan available in 2021.
The 2025 Lucid Air is available in four model trims and is rated for up to 512 miles per charge with a manufacturer’s suggested retail price starting at $71,400, according to Car and Driver.
Lucid also produces an electric SUV called the Gravity.
