Lucid Group files for resale of shares, including preferred stock

NEWARK, CA - Lucid Group, Inc. (NASDAQ:LCID), a manufacturer of electric vehicles trading at $2.61 per share, announced today the registration for resale of a substantial number of shares, including convertible preferred stock. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 3.71, though it’s currently experiencing significant cash burn. The company has registered 100,000 shares of Series A Convertible Preferred Stock and 297,567,387 shares of Class A Common Stock that may be issued upon conversion of the Series A Preferred Stock as of December 31, 2024. Additionally, 75,000 shares of Series B Convertible Preferred Stock and 177,103,144 shares of Common Stock, which may be issued upon conversion of the Series B Preferred Stock as of the same date, are included in the registration. This move comes as the stock has experienced a significant decline, with InvestingPro showing a -33.81% return over the past six months.

Furthermore, Lucid has registered 396,188,386 shares of Common Stock for resale, according to a registration statement and a related prospectus supplement filed with the Securities and Exchange Commission (SEC). This move is part of Lucid’s ongoing efforts to facilitate future transactions involving its securities.

The registration of these shares was accompanied by the filing of a legal opinion and consent from the law firm Skadden, Arps, Slate, Meagher & Flom LLP, which has been included as Exhibit 5.1 in the Current Report on Form 8-K. This legal documentation is meant to be added to Lucid’s Registration Statement on Form S-3ASR (File No. 333-282677).

The announcement does not necessarily indicate an immediate sale of shares; instead, it allows for the potential resale of these shares by certain shareholders in the future. The company has not disclosed any specific plans regarding the timing or volume of any such sales.

This update is based on a press release statement and provides investors with the latest developments regarding Lucid’s financial instruments and potential market activities. As a manufacturer in the competitive electric vehicle industry, Lucid’s financial strategies and offerings are closely watched by investors and industry analysts. InvestingPro analysis reveals that while the company holds more cash than debt, it currently shows weak gross profit margins and faces profitability challenges. For deeper insights, investors can access the comprehensive Pro Research Report, which provides detailed analysis of Lucid’s financial health and market position.

In other recent news, Lucid Group, Inc. reported fourth-quarter results that exceeded expectations, marking a significant development for the electric vehicle maker. The company posted an adjusted loss of $0.22 per share, surpassing analyst estimates of a $0.25 per share loss. Revenue for the quarter reached $234.5 million, exceeding the consensus estimate of $200.5 million and representing a 79% year-over-year increase. Lucid produced 3,386 vehicles and delivered 3,099 in Q4, with full-year 2024 production aligning with guidance at 9,029 vehicles and deliveries up 71% from the previous year. The company has issued 2025 production guidance of approximately 20,000 vehicles, indicating expectations for continued growth. In a notable leadership change, CEO Peter Rawlinson will step down, transitioning to the role of Strategic Technical Advisor to the Board Chairman, while COO Marc Winterhoff has been appointed as Interim CEO. Lucid ended the quarter with $6.13 billion in total liquidity, providing a solid financial foundation as it continues to expand production. Interim CFO Gagan Dhingra highlighted the significant momentum in 2024, with record deliveries and improvements in gross margins. These developments, along with the leadership transition, have contributed to a positive outlook for the company’s growth trajectory.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.