Lucid Group Shares Retract After Partnership Announcement with Bolt
Lucid Group (NASDAQ: LCID) stock initially rose nearly 6% following an announcement of a partnership with Estonian rideshare company Bolt to deploy autonomous Lucid EVs. However, the stock has since fallen by about 3.6%, as investors scrutinize the financial feasibility of the plan. Bolt plans to purchase up to 100,000 Lucid electric vehicles (EVs) for use in Europe and the Middle East, with an initial target of deploying 25,000 units. The cost is estimated at $7.1 billion if Bolt follows through on its full plan — a sum that far exceeds Bolt's historical operating cash flow. Investors are questioning whether Bolt will have sufficient financial resources to fulfill the agreement given Lucid’s high vehicle prices and the scale of investment required, leading to skepticism about the partnership's viability.
Topics: autonomous vehicles Bolt EV partnerships Lucid Group market reaction