Lucid and Nikola file to raise additional cash

Electrical auto start-up Lucid on Sept. 28, 2021 mentioned production of its first automobiles for customers has begun at its factory in in Casa Grande, Arizona.

Lucid

Electric motor vehicle makers Lucid Team and Nikola are transferring to increase additional funds, as equally companies goal to strengthen production amid sharply climbing battery expenditures and new federal polices that restrict incentives for EV buyers.

Nikola said in a regulatory filing Tuesday that it programs to situation up to $400 million worth of new stock in an “at-the-marketplace” presenting, that means that the shares will be offered at prevailing industry charges.

The Arizona-centered maker of electric heavy vans advised buyers for the duration of its 2nd-quarter earnings phone that it expected to elevate further resources as it will work to ramp up generation of its Tre electric semitrucks and moves in advance with its $144 million acquisition of battery pack supplier Romeo Power.

Nikola had $529 million in funds remaining as of the end of June, and an added $312 million readily available via an current equity line from Tumim Stone Capital.

Independently, Lucid Team late on Monday filed a “shelf registration” to issue¬†up to $8 billion in new stock above the next three decades. A shelf registration gives the business the right to issue the inventory as essential.

Lucid mentioned in a assertion that its shelf registration is intended to “provide bigger versatility” to raise added cash in the foreseeable future, and that it has no fast plans to sell any new inventory.

Lucid had $4.6 billion in income on hand as of the conclusion of the next quarter, sufficient to fund its operations and funds costs into upcoming yr, it said earlier this month.