Lucid Motors To Go Public In Merger With Churchill Capital Corp IV

Lucid Motors To Go Public In Merger With Churchill Capital

CCIV and Lucid are combining at a transaction equity value of $11.75 billion.

Lucid Motors, which is setting new standards for sustainable mobility with its advanced luxury EVs, and Churchill Capital Corp IV, a special purpose acquisition company, announced that they have entered into a definitive merger agreement. CCIV and Lucid are combining at a transaction equity value of $11.75 billion. The transaction values Lucid at an initial pro-forma equity value of approximately $24 billion at the PIPE offer price of $15 per share and will provide Lucid with approximately $4.4 billion in cash (assuming no existing CCIV shares are redeemed for cash at closing).  

Peter Rawlinson, CEO and CTO of Lucid, said, “Lucid is proud to be leading a new era of high-technology, high efficiency zero-emission transportation. Through a ground-up rethinking of how EVs are designed, our in-house-developed, race-proven technology and meticulous engineering have enabled industry-leading powertrain efficiency and new levels of performance. Lucid is going public to accelerate into the next phase of our growth as we work towards the launch of our new pure-electric luxury sedan, Lucid Air, in 2021 followed by our Gravity performance luxury SUV in 2023. Financing from the transaction will also be used to support expansion of our manufacturing facility in Arizona, which is the first greenfield purpose-built EV manufacturing facility in North America, and is already operational for pre-production builds of the Lucid Air. Scheduled to expand over three phases in the coming years, our Arizona facility is designed to be capable of producing approximately 365,000 units per year at scale. Lastly, this transaction further enables the realization of our vision to supply Lucid’s advanced EV technologies to third parties such as other automotive manufacturers as well as offer energy storage solutions in the residential, commercial and utility segments.”

Michael Klein, chairman and CEO of CCIV, said, “CCIV believes that Lucid’s superior and proven technology backed by clear demand for a sustainable EV make Lucid a highly attractive investment for Churchill Capital Corp IV shareholders, many of whom have an increased focus on sustainability. We are pleased to partner with Peter and the rest of Lucid’s leadership team as it delivers the highly anticipated Lucid Air to market later this year, promising significant disruption to the EV market and creating thousands of jobs across the U.S.”

Lucid is setting new standards in performance, range and efficiency, appealing both to customers and investors committed to a zero-emission future. The company’s differentiated, proprietary EV technology, including its battery technology which is currently powering every vehicle in the world’s leading EV racing series, is underpinned by a rich portfolio of patents. Lucid’s EV technology suite was developed in-house, allowing Lucid Air to deliver outstanding efficiency with a projected range of over 500 miles on a single charge – ahead of all competitors on the market today.

Lucid’s growth will continue to benefit the communities in which it operates, particularly in California where the company is headquartered and in Arizona where the company has built its vehicle manufacturing facility from the ground up as well as its in-house EV powertrain manufacturing facility. Additionally, with directly owned retail locations already open in California and Florida, Lucid will continue to expand its retail and service footprint across the U.S. throughout 2021. Lucid currently employs nearly 2,000 people in the U.S. and intends to continue growing quickly to support the company’s ramp in operations, with 3,000 employees expected to be added domestically by the end of 2022.

Peter Rawlinson will continue to lead Lucid along with the rest of the company’s seasoned leadership team. Churchill’s leadership team and group of operating partners will actively facilitate key introductions and relationships and provide product, design, and industry insights.

You May Also Like

LKQ Corp. Reports Q3 Revenue of $3.1B 

The company reported third quarter parts and services organic revenue growth of 4.8%.

LKQ Corp. has reported third quarter 2022 financial results. 

Third Quarter 2022 Financial Results

Revenue for the third quarter of 2022 was $3.1 billion, a decrease of 5.9% as compared to $3.3 billion in the third quarter of 2021. On a constant currency basis, third quarter revenue grew by 1% to $3.3 billion. Parts and services organic revenue increased 4.8% on a reported basis (5.3% on a per day basis), while the net impact of acquisitions and divestitures decreased revenue by 2.3% and foreign exchange rates decreased revenue by 7.4%, for a total parts and services revenue decrease of 5%. Other revenue fell 17.4% primarily due to weaker commodity prices relative to the same period in 2021.

Myers Industries Sees 14% Increase in Net Sales

Myers Industries’ President and CEO Mike McGaugh said strong execution drove record top- and bottom-line results.

CarParts.com Reports Q3 Sales of $164.8M

Company reports eleventh consecutive quarter of double-digit year-over-year sales growth.

Motorcar Parts of America Reports Q2 Results

MPA was impacted by critical component shortages and supply chain disruptions but said it remains optimistic.

Lumileds Successfully Completes Restructuring

The company also announced that Steve Barlow, president of Lumileds’ Automotive Business Unit, will succeed Matt Roney as CEO.

Other Posts

Majority Recapitalization Announced for RANDYS Worldwide

Greenbriar Equity Group completes new investment in the aftermarket products supplier alongside existing investor Tailwind Capital.

SMP Announces Q3 2022 Results, Quarterly Dividend

Net sales for the third quarter of 2022 were $381.4 million, compared to consolidated net sales of $370.3 million during the comparable quarter in 2021.

Dana Reports Strong Q3 Results 

Company reports sales of $2.54 billion, an increase of $331 million.

AutoZone Authorizes Additional Stock Repurchase

Since the inception of the repurchase program in 1998, AutoZone’s Board of Directors has authorized $33.7 billion in share repurchases.