SEC Issues Subpoena at Lucid over its SPAC Deal
Posted on 12/06/2021
On December 3, 2021, electric vehicle startup Lucid Group, Inc. received a subpoena from the U.S. Securities and Exchange Commission requesting the production of certain documents related to an investigation by the SEC. Although there is no assurance as to the scope or outcome of this matter, the investigation appears to concern the business combination between the current company (f/k/a Churchill Capital Corp. IV) and Atieva, Inc. and certain projections and statements. Lucid said it is cooperating fully with the SEC in its review. Likely the investigation is probably looking at the validity of the financial projections these companies made when they announced the mergers. These include pre-orders collected for the automobiles. The SEC is already conducting investigations into Nikola (Nikola Motors), Lordstown Motors, and Canoo.
Lucid was backed by Saudi Arabia’s Public Investment Fund (PIF) and founded in 2007.
Since Lucid’s public listing the stock had soared, surpassing General Motors. The news of an SEC investigation immediately sent Lucid shares tumbling.
Keywords: Lucid Motors.