lucid
Founded by a former employee of Elon Musk, premium electric car maker Lucid has decided to go public, Reuters reports. The startup does not plan to hold an IPO and wants to float through a merger with another company set up specifically for the purpose of going public and subsequent merger (special purpose acquisition company, SPAC).
Lucid is considering a merger with Churchill Capital IV Corp. The value of the combined company as a result of the deal is estimated at $24 billion, writes Reuters. Churchill Capital will invest in the company $2.1 billion received during the IPO, another $2.5 billion will come from private capital through the purchase of securities by investors cheaper than market value (private investment in public equity, PIPE).
A Saudi investment fund will participate in the deal, as well as funds managed by BlackRock and others, Reuters wrote. The combination of Lucid and Churchill Capital will be the largest such deal in the electric-powered car segment, Bloomberg stressed. The volume of PIPE investment will be a record for SPAC deals, the agency added.
Investors are now actively investing in the electric vehicle sector, Reuters noted. The surge in Tesla shares, as well as stricter emissions regulations in Europe and other countries, has helped to bolster confidence in the sector.
source: reuters.com
Lucid is considering a merger with Churchill Capital IV Corp. The value of the combined company as a result of the deal is estimated at $24 billion, writes Reuters. Churchill Capital will invest in the company $2.1 billion received during the IPO, another $2.5 billion will come from private capital through the purchase of securities by investors cheaper than market value (private investment in public equity, PIPE).
A Saudi investment fund will participate in the deal, as well as funds managed by BlackRock and others, Reuters wrote. The combination of Lucid and Churchill Capital will be the largest such deal in the electric-powered car segment, Bloomberg stressed. The volume of PIPE investment will be a record for SPAC deals, the agency added.
Investors are now actively investing in the electric vehicle sector, Reuters noted. The surge in Tesla shares, as well as stricter emissions regulations in Europe and other countries, has helped to bolster confidence in the sector.
source: reuters.com
