Lucid Group said on Monday its largest shareholder, Saudi Arabia's Public Investment Fund, will inject up to $1.5 billion in cash, as the electric vehicle maker looks to add new models to its product line.
The EV maker's shares, which closed down 3.9%, jumped 12% in extended trading.
The deal comes just ahead of Lucid's planned production of its much-awaited Gravity SUV later this year and keeps the EV maker sufficiently funded till the fourth quarter of 2025.
Ayar Third Investment, an affiliate of PIF, has agreed to buy $750 million worth of convertible preferred stock and provide a similar amount as a credit line.
The company also reported second-quarter revenue above analysts' estimates as price cuts helped drive higher sales of its luxury electric sedans during the April-June period.
In February, Lucid cut prices of its flagship Air sedans by up to 10% to reignite sales as consumers increasingly opted for more budget-friendly gasoline-electric hybrid cars in response to prevailing high interest rates.
Revenue for the second quarter was $200.6 million, compared with analysts' estimate of $192.1 million, according to LSEG data.
In the same quarter, the company delivered a record 2,394 vehicles, beating market expectations, while market leader Tesla reported a smaller-than-expected decline.
Lucid made 3,838 vehicles in the first half of the year and stuck to its target of making 9,000 units by the end of the year on Monday.
Lucid is gearing up to expand its product line with a more affordable mid-size car expected to roll out in late 2026.
On an adjusted basis, it reported a loss of 29 cents per share, wider than analysts' average estimate of a loss of 27 cents.
It ended the second quarter with cash and cash equivalents of $1.35 billion, compared with $1.37 billion at the end of 2023.
