Photographer: David Paul Morris / Bloomberg
Photographer: David Paul Morris / Bloomberg
Lucid Motors Inc. is in talks with Saudi Arabia’s sovereign wealth fund to build an electric vehicle factory in the kingdom Financial times reported, citing an interview with the fund’s governor, Yasir Al-Rumayyan.
Bloomberg reported earlier this month that Lucid is in talks with the kingdom’s Public Investment Fund to build a potential factory near the Red Sea city of Jeddah. The company raised more than $ 1 billion in PIF in 2018, an investment that was conditioned by the fact that the company developed a site in Saudi Arabia, said people familiar with the matter.
The fund is trying to entice international companies to set up operations in the kingdom, FT said. “He is already in talks with a number of companies in the health sector,” Al-Rumayyan told the newspaper, without giving further details.
PIF is also in talks with “many” companies in The vision fund supported by Saudi Arabia from SoftBank. “The next step is to move forward to take them to the kingdom,” Al-Rumayyan said.
- The international exposure of PIF will decrease to about 20% of assets under management over the next five years, from almost 30%.
- Saudi Arabia could consider listing several shares in Saudi Aramco “if the assessment is correct,” he said.
- The PIF will need additional government cash injections. This will only happen when the central bank’s reserves are replenished.
- NOTE: Saudi Arabia removes the central banker and sets the objectives of the wealth fund