Luxury electric vehicle (EV) maker Lucid Motors is finally going public. After a month of speculation, that Special Purpose Acquisition Company (SPAC) Churchill Capital IV (New York Stock Exchange: CCIV) would merge with the promising electric vehicle company, it has come true. The transaction values the combined entity at $ 11.75 billion, but if all aspects of the deal are taken into consideration, the company would be valued at $ 24 billion.
Lucid Motors will receive an injection of $ 4.4 billion in cash from both Churchill Capital IV and Private Investment in Public Equity (PIPE). PIPE investors entered the deal at a price of $ 15 a share, or 50% above Churchill’s $ 10 starting price.
Peter Rawlinson, former Tesla (NASDAQ: TSLA) Chief Engineer, he will remain as Lucid’s CEO and CTO. “Lucid is going public to accelerate to the next phase of our growth,” Rawlinson said. The company’s first luxury sedan, the $ 161,500 Air Dream Edition, will be available starting this year at its Arizona manufacturing facility.
Rawlinson also said Lucid will follow the Air sedan model with a high-performance luxury SUV called Gravity starting in 2023. The Arizona facility will be capable of producing 365,000 units at full capacity.
Lucid doesn’t stop there. Rawlinson hinted at more business deals, commenting that “this transaction further enables the realization of our vision to supply Lucid’s advanced EV technologies to third parties.[,] like other car manufacturers[,] as well as offering energy storage solutions in the residential, commercial field[,] and public service segments “.