Lucid Group revealed on Monday the company has been issued a subpoena from the U.S. Securities and Exchange Commission (SEC).
The subpoena was in relation to Lucid’s merger with a with a special purpose acquisitions company (SPAC) earlier this year.
According to a regulatory 8-K filing by Lucid Group, CFO Sherry House revealed the SEC had requested “the production of certain documents” and that the company was cooperating fully with the SECs investigation.
“The investigation appears to concern the business combination between the company (formerly known as Churchill Capital Corp. IV) and Atieva Inc. and certain projections and statements,” CFO Sherry House said. (via Fortune)
In July Lucid Motors became Lucid Group after merging with Michael Klein’s Churchill Capital Corp. IV. The new company began trading under the ticker LCID on the NASDAQ exchange on July 26, 2021.
In response to the news, shares of Lucid (LCID) plunged by more than 15% in early trading, before recovering to close down just over 5% on the day.