The US securities regulator has asked Lucid Group Inc. for documents related to an investigation into its blank-check deal, joining a growing list of companies that have come under scrutiny for their merger with shell companies. Shares of the luxury electric-car maker fell about 14 percent in pre-market trading on Monday after disclosing that it had received a subpoena from
The little-known US marque currently builds the world’s longest-range production electric car, and is more valuable than Kia, Honda, Mazda, or Hyundai.
The highly-anticipated move to take Lucid Motors public is set to raise circa $4.4bn, which would see the luxury EV manufacturer valued at as much as $24bn. After selling shares at $10 each and raising $2bn in an initial public offering (IPO) on the New York Stock Exchange last July, Churchill Capital has now embarked on a private investment in public equity (PIPE) transaction to sell shares and raise another $1bn, as reported by
Reuters.
Highlighting the investor-frenzy around the stock,
Bloomberg’s Chris Bryant reported last Friday that “almost 240m shares have changed hands in the last three trading sessions [which is] remarkable considering only 207m shares are tradable.”