Lucid Denies Bankruptcy Rumors, Cites Strong Cash Flow and Advances New Models, Robotaxi Partnerships

U.S. electric vehicle maker Lucid denied on July 14 local time rumors that it was considering filing for Chapter 11 bankruptcy protection. Nick Twork, the company’s Chief Communications Officer, called the reports “completely false,” emphasizing that Lucid has sufficient liquidity to support operations into late next year—a fact already disclosed in its recently released quarterly filings. He also stated that the board has not formed a special committee to explore bankruptcy or privatization options and clarified that AlixPartners is assisting Lucid solely with operational improvements and has not recommended filing for bankruptcy. Earlier that day, Lucid’s stock plunged more than 50% intraday—the largest intraday drop in its history—amid market speculation, before partially recovering. It closed at $4.72 per share, still down about 14% from its opening price. Lucid is currently undergoing a major restructuring to prepare for the launch of a smaller, more affordable SUV later this year. The company delivered 3,953 vehicles in the second quarter, a slight year-over-year increase. Additionally, Lucid has announced another round of layoffs and canceled the second production shift at its Arizona factory to align capacity with expected demand. The company also plans to launch a premium robotaxi service by year-end in partnership with Uber and Nuro. Uber has committed to purchasing at least 35,000 Lucid vehicles equipped with Nuro technology over the coming years, including 10,000 Gravity SUVs and 25,000 vehicles based on Lucid’s new midsize EV platform.