Lucid Motors business combination with Churchill Capital Corp IV
Davis Polk is advising Lucid Motors in connection with its business combination with Churchill Capital Corp IV (CCIV), a publicly traded SPAC, that would result in Lucid becoming a public company. CCIV and Lucid are combining at a transaction enterprise value of $11.75 billion. The transaction values Lucid at an initial pro-forma equity value of approximately $24 billion at the PIPE offer price of $15.00 per share and will provide Lucid with approximately $4.4 billion in cash (assuming no existing CCIV shares are redeemed for cash at closing). The transaction is subject to customary closing conditions.
Lucid is setting new standards in performance, range and efficiency, appealing both to customers and investors committed to a zero-emission future. The company's differentiated, proprietary EV technology, including its battery technology which is currently powering every vehicle in the world's leading EV racing series, is underpinned by a rich portfolio of patents. Lucid's EV technology suite was developed in-house, allowing Lucid Air to deliver outstanding efficiency with a projected range of over 500 miles on a single charge – ahead of all competitors on the market today.
The Davis Polk corporate team included partners Lee Hochbaum and Emily Roberts and associates Albert Zhu, Joze Vranicar, Daniel Fox, Lucas Wozny and Michael Kostukovsky. Partner Veronica M. Wissel is providing executive compensation advice. The tax team included partner William A. Curran. Partner Frank J. Azzopardi is providing intellectual property advice. Members of the Davis Polk team are based in the New York and Northern California offices.