Lucid Shares Plunge Over 40%, Triggering 2 Halts After Bankruptcy Report
Updated
Updated · Electrek · Jul 14
Lucid Shares Plunge Over 40%, Triggering 2 Halts After Bankruptcy Report
3 articles · Updated · Electrek · Jul 14
Summary
Lucid stock sank more than 40% intraday on Tuesday and was halted twice after a report said the EV maker was weighing Chapter 11 bankruptcy or a take-private deal.
Lucid quickly called the report “completely false,” saying AlixPartners is only helping with operational efficiency and that no special board committee is exploring a buyout or restructuring.
Lucid cited roughly $714 million in cash and $3.2 billion in Q1 liquidity; after April fundraising and a PIF loan draw, pro forma liquidity was about $4.7 billion, which it says supports operations into next year.
The selloff still reflected real financial strain: Lucid lost $1.03 billion in Q1, burned about $3.8 billion in free cash flow in 2025, cut 18% of staff in June and withdrew 2026 production guidance.
Rivian shares also slipped as investors reassessed EV startups, underscoring how quickly thinly sourced bankruptcy speculation can hit already weakened companies.