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Lucid (allegedely) hires AlixPartners as part of restructuring.

They
LuHart said:
From Lucid’s SEC filing today:

Lucid Group, Inc. (the “Company”) announced that the rumors are completely false. The Company has sufficient liquidity to carry its operations well into next year, as recently published in its last quarterly filings, and it has not formed any special Board committee to explore the scenarios reported today. The Company’s focus is on improving execution, strengthening operations, and positioning the Company to realize the full potential of its technology, products, and innovation. AlixPartners is assisting the Company in that and nothing else and has not recommended bankruptcy to management or the Board of Directors of the Company. The Company undertakes no duty to further update the comments on this matter.
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They should have seen these rumors coming and got ahead of them after hiring Alix.
 
Who’s doubled their money by buying before Nick’s tweet?
 

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Respectfully, Nick has to say what he can to help the company. The facts point to something different.
 
RLead8 said:
Respectfully, Nick has to say what he can to help the company. The facts point to something different.
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What facts? I have seen no new facts today.

But lots of rumors!
 
Don’t need to be a financial engineer to appreciate the stress the company is under.
 
That’s helpful and agree that’s material.
 
RLead8 said:
Don’t need to be a financial engineer to appreciate the stress the company is under.
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Also don’t need to be an attorney to appreciate that rumors are not facts. :)

Nobody is saying the company isn’t under significant stress, financial and otherwise. That much is obvious, but also not news. That did not change today or yesterday or even two weeks ago.
 
So its back to almost opening price after a wild swing. Has this happened with other stocks? What was the aftermath? Obviously i just give my money to Eddie Jones and don't know a whole lot about the market.
 
socktucker said:
against part of the rumors.

I hope they go private, I think its best for all of us including owners.
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The wording to me suggests they are disavowing either rumor.

"The Company has sufficient liquidity to carry its operations well into next year, as recently published in its last quarterly filings, and it has not formed any special Board committee to explore the scenarios reported today. " (Emphasis mine)


I suppose it's possible that you could read in between the lines that although they haven't "formed a special Board committee" that doesn't mean the options haven't been discussed by the board as a whole, and nothing is stopping them from forming such a special committee in the future.
 
Hiring a consultant that specializes in bankruptcy is a recent material change. Changes at the c-suite level are relatively recent and material. I’m still waiting for my gravity to come and the delay in receiving it is very recent and material to me that the company can’t deliver nor communicate why it’s delayed and for how long. I am nervous about purchasing and feel there is enough evidence to support that feeling.
 
RLead8 said:
Hiring a consultant that specializes in bankruptcy is a recent material change. Changes at the c-suite level are relatively recent and material. I’m still waiting for my gravity to come and the delay in receiving it is very recent and material to me that the company can’t deliver nor communicate why it’s delayed and for how long. I am nervous about purchasing and feel there is enough evidence to support that feeling.
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There's already been discussions about the fact that this consulting firm does more than just bankruptcy, and it's noted in the SEC filing that it isn't the purpose for hiring them.

That said, of you're not comfortable with the state of the company, by all means, don't buy a Gravity. Nobody is forcing you to, and nobody here (with a brain) to will judge you for it.
 
RLead8 said:
Hiring a consultant that specializes in bankruptcy is a recent material change. Changes at the c-suite level are relatively recent and material. I’m still waiting for my gravity to come and the delay in receiving it is very recent and material to me that the company can’t deliver nor communicate why it’s delayed and for how long. I am nervous about purchasing and feel there is enough evidence to support that feeling.
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I would probably feel the same way in your position too. I am also nervous that my car will never be fixed. Having said that, my understanding is that Alix mostly does other work besides bankruptcy.
 
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RLead8 said:
Hiring a consultant that specializes in bankruptcy is a recent material change.
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While Alix Partners does financial restructuring consulting, saying that they specialize in bankruptcy is a stretch. And whether or not an action or event is material is defined by the SEC not opinion.
 
Bankruptcy or not, they aren’t there to throw a party. I’m not not canceling my order because I’m afraid of being judged by people on this forum. That’s kind of ridiculous. I love the gravity otherwise I would’ve cancelled months ago but certainly having doubts given the recent circumstances. I think that’s okay to have that discussion here or even just to vent.
 
RLead8 said:
Unsure how they can offer support. Having enough money to last a year isn’t great. They’ve stopped providing guidance on future deliveries. I know we all want a positive spin/outlook but it’s not looking good. If Cosmos doesn’t sell well, I can’t see how the company stays a going concern.
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If R2 doesn’t sell well, Rivian is toast, just like if Cosmos doesn’t sell well for Lucid. That’s a given.
 
RLead8 said:
Hiring a consultant that specializes in bankruptcy is a recent material change. Changes at the c-suite level are relatively recent and material. I’m still waiting for my gravity to come and the delay in receiving it is very recent and material to me that the company can’t deliver nor communicate why it’s delayed and for how long. I am nervous about purchasing and feel there is enough evidence to support that feeling.
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They specialize in a lot of things, including providing financial guidance. Lucid needs that, previous C-suite was all over the place.
 
Northpointe said:
While Alix Partners does financial restructuring consulting, saying that they specialize in bankruptcy is a stretch. And whether or not an action or event is material is defined by the SEC not opinion.
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They specialize in helping companies make high-impact strategic decisions, including turnarounds. If Apple engaged this company, I would agree that it’s not to avoid bankruptcy. I mean it’s great they are actively exploring options to turn operations around vs. staying BAU. And also great that they’ve recognized that they need outside help and took action. With that said, that doesn’t take away from the fact that they are in this situation to begin with, which some is their fault and some is bad luck.

“AlixPartners is global consulting firm specialising in improving corporate financial and operational performance, executing corporate turnarounds and providing litigation consulting, forensic accounting and IT/information management services, primarily in urgent, high-impact situations.”
 
gaskiller said:
If R2 doesn’t sell well, Rivian is toast, just like if Cosmos doesn’t sell well for Lucid. That’s a given.
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The future of either company will come down to the willingness of their financial backers to continue to pour money into them. The reality is that it's very difficult to launch a new car company, success takes a long time, and most will fail trying.
 
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