Lucid Group Inc. stock rose as much as 15% on Monday, its first day of trading on the Nasdaq after the company’s merger with a blank-check company was approved on a second try Friday.
traded as high as $29.03 by midday trading Monday, having opened at $25.24. The stock lost some steam as the session progressed and closed the day up 11%, at $26.83.
“We are on track to meet our projected customer deliveries this year, the next, and into the future,” Chief Executive Peter Rawlinson said in a message to investors. “But with the $4.4 billion in funding we now have in the bank, we’re able to significantly accelerate our trajectory while also mitigating our risks in delivering the world’s best EVs.”
Lucid and Churchill Capital Corp. IV CCIV, 3.93%, a special-purpose acquisition company, or SPAC, announced the deal in February.
The Newark, Calif., company hopes to start selling its Lucid Air, a luxury electric sedan built at Lucid’s factory in Arizona, in the second half of this year.
The company had to extend the merger vote to Friday from Thursday after what it called “very specific technical factors” relating to revising its charter and the financing, a proposal that needed additional votes, Lucid said in a filing.
The merger itself was approved by more than 99% of the shareholders, the company said.
Earlier this week, EV maker Faraday Future Intelligent Electric Inc.’s
shares debuted on the Nasdaq this week after the completion of a merger with a SPAC. EV maker Fisker Inc.
took the same road last year.
A Saudi Arabian investment fund will own over 60% of Lucid, booking a profit of nearly $20 billion on its $2.9 billion investment in Lucid.