Saudi Prince Alwaleed Invests $130 Million in Lucid Motors
N.R. Finch
Saudi Prince Alwaleed bin Talal bought roughly $129.5 million worth of Lucid Group shares — a 5% stake — while the EV maker's market cap sat below $2 billion after a brutal sell-off. Saudi capital's bet on Lucid is now spreading from the state level to the royal family.
What exactly did the prince buy?
Alwaleed acquired about 19.5 million shares directly, giving him a 5% stake in Lucid.
The purchases came while Lucid's stock was in steep decline, with the company's market cap below $2 billion.
This means → his average entry price was roughly $6.60 per share — a classic buy-the-fear move.
Why did Lucid's stock crash in the first place?
Earlier this month an EV-focused outlet reported that Lucid was considering filing for bankruptcy or going private via its Saudi sovereign-wealth backer. The stock plunged 57% in a single session.
Lucid denied the bankruptcy rumor but confirmed it had hired restructuring advisors from AlixPartners — itself a signal of financial stress.
Shares have since rebounded roughly 45% from the July 14 all-time low, yet remain down about 75% over the past twelve months.
How deep is Saudi capital in Lucid?
The Public Investment Fund (PIF — Saudi Arabia's sovereign wealth fund) is Lucid's largest shareholder at roughly 45.4%, having poured in more than $9 billion to date.
PIF first invested in 2018 and held about 60% when Lucid went public via a SPAC merger in 2021, a deal that raised roughly $4 billion.
This means → with the prince's 5% on top, Saudi capital now controls roughly half of Lucid's equity. This "American EV company" is, in practice, heavily dependent on Saudi funding to survive.
What is the prince's relationship with PIF?
In 2022 Alwaleed sold a minority stake in his listed investment vehicle, Kingdom Holding Co., to PIF for $1.5 billion — the two sides have direct capital ties.
Bloomberg has reported that PIF and other government bodies have been quietly encouraging wealthy Saudi families to participate in deals tied to Crown Prince Mohammed bin Salman's Vision 2030 economic-transformation program.
In plain terms = the prince's investment can be read as personal conviction, as part of a broader state-level strategy, or both — the two motives are not mutually exclusive.
What is Lucid doing to save itself?
New CEO Silvio Napoli has launched aggressive cost cuts, announcing an 18% workforce reduction in June on top of an earlier round of major layoffs this year.
The company is now focused on its upcoming midsize-vehicle platform, widely seen as the make-or-break milestone for reaching profitability.
This means → Lucid's survival line is clear: if the midsize platform ships on time and scales, a turnaround is possible. If it stalls, the $9 billion Saudi investment faces even steeper paper losses.
Content is for reference only, not financial advice.