American luxury electric vehicle maker Lucid Motors, Inc. unveiled its plans to hold an initial public offering by merging with special purpose acquisition company Churchill Capital Corp IV in a deal that values the new company at $11.75 billion.
The agreement values Lucid at an initial equity value of $24 billion as the California-based firm looks to raise around $4.4 billion in cash. The market capitalization of the combined company is expected to amount to $64 billion.
"Lucid is going public to accelerate into the next phase of our growth as we work towards the launch of our new pure-electric luxury sedan, Lucid Air, in 2021 followed by our Gravity performance luxury SUV in 2023. Financing from the transaction will also be used to support expansion of our manufacturing facility in Arizona, which is the first greenfield purpose-built EV manufacturing facility in North America," Lucid Motors CEO Peter Rawlinson said in a statement.
