Lucid Group has secured $1.5 billion in funding from its majority shareholder, Ayar Third Investment Co., an affiliate of Saudi Arabia’s Public Investment Fund (PIF). This marks the second investment from PIF this year and ensures sufficient liquidity for Lucid Group through at least Q4 2025.

According to Lucid Group’s statement, the deal includes a $750 million investment in convertible preferred stock through a private placement and a $750 million unsecured delayed draw term loan facility.

This investment aligns with Lucid’s vision to drive the global shift toward sustainable transportation and energy. It also supports the Public Investment Fund’s goal of becoming a global investment leader and diversifying Saudi Arabia’s economy away from oil and gas.

Lucid Group intends to allocate the funds from the private placement and potential term loan for general corporate purposes, including investments and meeting working capital needs. In September 2023, Lucid expanded its operations by opening its first plant outside the US in Saudi Arabia, with an initial capacity to produce 5,000 electric vehicles annually.

Now accepting applications for Fast Company Middle East’s Most Innovative Companies. Click here to apply.