Lucid Under Review by SEC

Issue 100

Lucid has received a subpoena from the Securities and Exchange Commission related to the SPAC deal that took the electric-vehicle company public this summer.

The company said in a regulatory filing released Monday that the SEC is requesting documents and that the investigation appears to concern certain projections and statements. Lucid said it is fully cooperating with the agency.

The California-based startup is the latest electric-vehicle maker to draw the broad sweeping scrutiny of federal regulators, which comes as the SEC is taking a harder look at the optimistic revenue projections used by young businesses that have merged with special-purpose acquisition corporations.

Lucid went public in July through a merger with SPAC Churchill Capital Corp. IV. It began building its first all-electric Air sedans in Arizona in September and started delivering them to customers a month later.

Source: Bloomberg