Lucid Group, Inc. has entered into agreements with its majority stockholder, Ayar Third Investment Company, an affiliate of the Public Investment Fund, to (i) purchase $750 million of convertible preferred stock via private placement, and (ii) provide a $750 million unsecured delayed draw term loan facility, subject to certain terms and conditions. Ayar will purchase the convertible preferred stock in the private placement, subject to customary closing conditions, relying on the exemption from registration.
Lucid plans to use the net proceeds from the private placement and any proceeds from the term loan for general corporate purposes, which may include capital expenditures and working capital. Lucid has not yet borrowed under the Delayed Draw Term Loan Facility.
