Lucid Motors is elevating one other $1 billion from its greatest monetary backer, Saudi Arabia, because it seems to be to blunt the excessive prices related to constructing and promoting its luxurious electrical sedan.

The firm introduced in a Monday morning regulatory submitting that Ayar Third Investment, an affiliate of Saudi Arabia’s Public Investment Fund, has agreed to buy $1 billion price of Lucid’s inventory, which is able to add to the Kingdom’s present stake of round 60% possession.

The contemporary funding comes only a few weeks after Lucid advised buyers that it solely plans to construct round 9,000 of its Air electrical autos this 12 months, a slight bump over final 12 months’s output. It misplaced $2.8 billion in 2023 and completed the 12 months with simply shy of $1.4 billion in money and equivalents.

The firm has struggled to seek out prepared consumers for its costly Air sedan, and has reduce costs a number of instances in current months in an effort to spice up gross sales. Lucid additionally plans to start out constructing its electrical Gravity SUV on the finish of this 12 months.

Lucid introduced the funding lower than three weeks after CEO Peter Rawlinson advised the Financial Times that he was cautious of relying too closely on Saudi Arabia to maintain shoveling cash into its proverbial furnace. “If I undertake a mindset that there’s bottomless wealth from PIF, that may be very harmful, that’s one thing I’ll by no means do, I respect them far an excessive amount of for that,” Rawlinson stated on the time.

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