Saudi Prince Alwaleed bin Talal acquired approximately 5% of US electric vehicle maker Lucid Motors, according to an SEC filing disclosed on the 29th (local time). The prince's investment firm purchased about 19.5 million shares, valued at approximately $126.8 million (approximately ₩184.7 billion) based on the prior closing price of $6.50 per share. Lucid stocks surged 21.54% following the disclosure, closing at $7.90. The investment came weeks after Lucid publicly denied rumors of delisting and potential Chapter 11 bankruptcy filing. Since its IPO, Lucid's stock has fallen approximately 97%, and the company has been implementing aggressive cost-cutting measures including an 18% workforce reduction.
Prince Alwaleed Acquires 19.5 Million Lucid Shares via SEC Filing
According to the SEC filing, Prince Alwaleed bin Talal acquired approximately 19.5 million shares of Lucid Motors, representing about 5% of the company. Based on the previous closing price of $6.50, the stake was valued at approximately $126.8 million. Following the disclosure, Lucid's stock price rose more than 20%, closing at $7.90—a 21.54% increase from the prior trading day.
The filing was submitted on the 29th (local time). Market participants viewed the investment positively, particularly given that it came from a globally recognized investor during a period when Lucid has been undergoing significant restructuring.
Lucid Implements 18% Workforce Reduction and Executive Appointments
Lucid Motors appointed Silvio Napoli as CEO in June and has since accelerated management normalization efforts. The company recently hired Alexander de Vocht as CFO. Last month, Lucid reduced its US workforce by approximately 18% and eliminated the Chief Operating Officer (COO) position as part of organizational streamlining aimed at cost reduction and faster decision-making.
The company initially gained attention as a strong Tesla competitor at the time of its IPO but faced difficulties due to production disruptions, weakening demand, and substantial cash burn. The stock has declined approximately 97% since going public, prompting market concerns about liquidity deterioration and funding pressures.
Prince Alwaleed's Investment History Includes Citibank and Apple Stakes
Prince Alwaleed bin Talal earned the nickname "Warren Buffett of the Middle East" after making bold investments in Citibank (now Citigroup) during its early 1990s bankruptcy crisis, generating substantial returns. He subsequently made long-term investments in global companies including Apple, News Corp, Four Seasons Hotels, and X (formerly Twitter), establishing himself as a major player in global financial markets. He is known to have invested in SpaceX, which was a top IPO prospect.
In 2017, Prince Alwaleed was detained for several months at the Ritz-Carlton hotel in Riyadh along with other royals and business figures during Crown Prince Mohammed bin Salman's (MBS) anti-corruption campaign. Foreign media described the hotel as "the world's most expensive prison." After reaching an agreement with the government, Prince Alwaleed was released and resumed investment activities, maintaining his position as a leading investor representing the Middle East.
FAQ
What stake did Prince Alwaleed acquire in Lucid Motors?
Prince Alwaleed bin Talal acquired approximately 19.5 million shares of Lucid Motors, representing about 5% of the company, according to an SEC filing disclosed on the 29th (local time).
How did Lucid stocks respond to the investment announcement?
Lucid stocks surged 21.54% following the disclosure, closing at $7.90 compared to the previous closing price of $6.50.
What restructuring measures has Lucid implemented recently?
Lucid appointed Silvio Napoli as CEO in June and Alexander de Vocht as CFO recently. Last month, the company reduced its US workforce by approximately 18% and eliminated the Chief Operating Officer position.
