Lucid Group Announces Public Offering, Private Placement Of Around $1.67 Bln Of Shares; Stock Down

(RTTNews) - Lucid Group, Inc. (LCID), an automaker, announced on Thursday that it has priced an underwritten public offering of 262.446 million shares. The offering is expected to be closed on or about October 18. The Group has granted the underwriter a 30-day option to purchase up to 39.367 million additional shares.

In addition, Lucid has entered into an agreement with its majority stockholder and affiliates of the public investment fund, Ayar Third Investment Company to allow Ayar to purchase 374.717 million shares from Lucid in a private placement.

The private placement is expected to be closed on October 31. Post transaction, Ayar expects to maintain its around 58.8 percent ownership of Lucid's common stock.

Lucid intends to use the net proceeds from both offerings for general corporate purposes, which may include, capital expenditures, working capital, and others.

LCID was trading down by 18.29 percent at $2.680 in the pre-market trade on the Nasdaq.