PIF’s Ayar eyes new Lucid shares for SAR 1.3B

Logo of Lucid Group

Ayar Third Investment Co., an affiliate of the Public Investment Fund (PIF), intends to buy new shares from US automaker Lucid Group in a separate private deal, Bloomberg reported.

Lucid seeks to raise new funding from selling 676.5 million shares in a public offering, private placement, and purchase option.

The automaker plans to sell 262.4 million shares in a public offering, in addition to 374.7 million shares allocated to Ayar.

The company gave BofA Securities the option to buy up to an additional 39.4 million shares within the next 30 days.

The private placement proceeds are expected to reach $1.32 billion based on the company’s average share price. After obtaining the funds, the total cash injected by Ayar in Lucid will reach $3.8 billion.

The move will help Ayar keep its roughly 58.8% ownership of Lucid.

In August, Lucid concluded an agreement with Ayar to obtain an amount of $1.5 billion, according to data available with Argaam.

In March, Ayar signed an agreement to buy an additional stake in Lucid for $1 billion (SAR 3.75 billion).

In September 2023, Lucid Group opened its first electric vehicle factory in Saudi Arabia’s King Abdullah Economic City (KAEC).