Rawlinson, former Tesla engineering govt, appeared on CNBC the morning after Lucid introduced a reverse merger with particular objective acquisition firm Churchill Capital Corp IV to go public. It is the biggest SPAC transaction involving an EV firm. SPACs are a substitute for preliminary public choices for corporations that need to change into publicly traded shares.
CCIV shares sank almost 48% to $30 per share in early Tuesday buying and selling, earlier than recovering a few of these losses, giving the merged firm a market worth of greater than $50 billion, in accordance with Reuters, larger than Ford Motor. By comparability, direct competitor Tesla has a market cap of greater than $637 billion.
Forward of Monday night time’s announcement and subsequent inventory decline, latest deal hypothesis had pushed CCIV up 470% this 12 months alone. Upon completion of the deal, seen within the second-quarter, Lucid is predicted to be listed on the New York Inventory Trade beneath the ticker LCID.
“I believe that the valuation is a mirrored image of our expertise,” Rawlinson mentioned, whereas including that extra work must be finished for Lucid to generate investor return. “What we have to now’s humbly and diligently execute and get this into manufacturing. That’s what will really drive the worth,” he burdened, in recognition that manufacturing an electrical automobile on a mass scale is a troublesome endeavor.
Deliveries of Lucid’s first automobile, the all-electric Air, at the moment are set for the second half of this 12 months, a delay from its earlier forecast. Manufacturing will happen at a plant the corporate in-built southeast of Phoenix in Casa Grande, Arizona. The Air begins at $77,400, with out together with the federal EV tax credit score.
Lucid tasks it’s going to earn $2.9 billion in EBITDA, or earnings earlier than curiosity, taxes, depreciation and amortization, in 2026, in accordance with an investor presentation. It tasks to ship 251,000 automobiles that 12 months. Along with the luxurious Air, Lucid plans to start producing an SUV in 2023 and ultimately “extra reasonably priced” automobiles down the street. Batteries made by Lucid’s expertise division, Atieva, are at the moment used on the electrical racing circuit Formulation E.
“I believe we have got an formidable however but realizable plan. We have proven that we are able to govt,” Rawlinson mentioned. “In the event you take a look at the manufacturing facility we have constructed at the moment, we did that in document time.”
Rawlinson additionally talked concerning the expertise of the executives and managers round him, together with these with previous profession stops at firms such Tesla and Apple. The investor presentation mentioned former officers from conventional automakers such Mazda, Ford and Audi are additionally on board.
“We have got the experience. We have got the monitor document at supply,” mentioned Rawlinson, who labored on the Mannequin S whereas at Tesla. “What’s actually essential now, although, significantly the following few months, is to get our first product into manufacturing. That is the good litmus.”