Introduction to Lucid Motors’ Recent Acquisition

Lucid Motors has recently announced that it is acquiring certain facilities in Arizona that were previously owned by Nikola, an electric truck manufacturer that filed for Chapter 11 bankruptcy protection in February. As part of this acquisition, Lucid will be offering jobs to over 300 former Nikola employees across its facilities in the state, including roles in engineering, software, assembly, vehicle testing, and warehouse support.

Details of the Acquisition

The facilities being acquired by Lucid include state-of-the-art manufacturing and warehousing buildings, as well as the equipment inside these buildings, such as battery and environmental testing chambers, machining equipment, and a full-size chassis dynamometer. Nikola, which was founded in 2015, had used these facilities as its factory, headquarters, and development center for zero-emission heavy trucks. The acquisition is valued at $30 million in cash and non-cash considerations, according to Electrek.

Impact on Lucid’s Expansion Plans

The acquisition is part of Lucid’s planned expansion in Arizona, but it still requires approval from the US Bankruptcy Court for the District of Delaware. "As we continue our production ramp of Lucid Gravity and prepare for our upcoming midsize platform vehicles, acquiring these assets is an opportunity to strategically expand our manufacturing, warehousing, testing, and development facilities while supporting our local Arizona community," said Marc Winterhoff, Interim CEO at Lucid.

Background on Lucid Motors

Lucid Motors launched its electric SUV, Gravity, in 2024. Currently, only the $94,000 Grand Touring trim is available, but the company plans to start production for the $79,900 Touring model later this year. The acquisition of Nikola’s facilities is expected to support Lucid’s production plans and expansion in Arizona. With this move, Lucid is poised to strengthen its presence in the electric vehicle market and support its local community by providing job opportunities to former Nikola employees.