- Lucid Group (LCID, Financial) has filed a preliminary proxy statement for a proposed 1:10 reverse stock split of its Class A common stock.
- The reverse stock split aims to make Lucid's stock more appealing to a wider array of investors.
- Approval from a majority of votes at a special stockholders' meeting is required for the reverse stock split to proceed.
Lucid Group, Inc. (LCID), a leader in electric vehicle technology, has initiated plans for a 1:10 reverse stock split of its Class A common stock. The company filed a preliminary proxy statement with the Securities and Exchange Commission (SEC) to secure shareholder approval. This strategic move is intended to enhance the attractiveness of Lucid's stock to a broader range of investors and market participants.
The reverse stock split will require the approval of the majority of votes cast at a specially convened stockholders' meeting. Notably, the proposed action will not alter the percentage ownership or voting power of current stockholders, except that any fractional shares will be settled with cash payments. The company's Board of Directors retains the discretion to cancel the split if it is deemed not to be in the best interests of the company and its shareholders.
Stockholders can review the preliminary proxy statement and related documents available on the SEC's website or through Lucid's Investor Relations page. The completion of the proposed reverse stock split is contingent upon market conditions and the attainment of shareholder approval. However, there is no guarantee that the split will lead to an increased share price or achieve its intended objectives.
Lucid Group continues to be at the forefront of electric vehicle innovation with its state-of-the-art manufacturing facility in Arizona producing award-winning vehicles such as the Lucid Air and the upcoming Lucid Gravity. The company remains committed to advancing EV technology for the global market.
