Lucid Motors executes investment agreement for more than $1 billion with Public Investment Fund of Saudi Arabia
Lucid Motors has executed a more than $1 billion investment agreement with the Public Investment Fund (PIF) of Saudi Arabia. The transaction will provide Lucid with the necessary funding to commercially launch its first electric vehicle, the Lucid Air, in 2020. Lucid plans to use the funding to complete engineering development and testing of the Lucid Air, construct its factory in Casa Grande, AZ, begin the global rollout of its retail strategy starting in North America, and enter production for the Lucid Air.
O’Melveny represented the Silicon Valley-based electric vehicle company in securing the funding, which is subject to regulatory approvals and customary closing conditions. The O’Melveny team was led by partners Nima Amini, Sung Pak, and Andrew Dolak, with support from counsel Andrew Sorkin and associates Nolan Shaw and Amanda Bradley.
Lucid’s mission is to inspire the adoption of sustainable energy by creating the most captivating luxury electric vehicles centered on the human experience. “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. At Lucid, we will demonstrate the full potential of the electric connected vehicle in order to push the industry forward,” said Peter Rawlinson, Chief Technology Officer of Lucid.
Lucid and PIF say they 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.
A spokesperson for PIF said, “By investing in the rapidly expanding electric vehicle market, PIF is gaining exposure to long-term growth opportunities, supporting innovation and technological development and driving revenue and sectoral diversification for the Kingdom of Saudi Arabia.”