News Summary
Lucid Group Inc. has acquired Nikola Corporation’s manufacturing facilities in Arizona for over $30 million, with plans to create hundreds of jobs in the region. The deal, pending court approval, includes the Coolidge manufacturing site and Phoenix headquarters. With this acquisition, Lucid aims to leverage its expanded asset base and collaborate with other automakers while also ramping up production for its electric vehicles. This move signals a significant boost for Arizona’s EV sector and local workforce amidst a competitive auto manufacturing landscape.
Arizona – Lucid Group Inc. has taken significant steps to enhance its electric vehicle (EV) operations by acquiring Nikola Corporation’s manufacturing facilities in Arizona. This move is expected to bolster job creation and expand Lucid’s production capabilities in the region. The acquisition, finalized for over $30 million at a bankruptcy auction that concluded in April 2025, involves Nikola’s Coolidge manufacturing facility and its Phoenix headquarters. The deal is currently pending approval from the U.S. Bankruptcy Court for the District of Delaware.
Lucid Group is now focusing on leveraging its expanded asset base as it garners interest from various automakers regarding its technologies and manufacturing capabilities present in its Arizona assembly plant. During a recent earnings call for the first quarter, company CEO Marc Winterhoff indicated that preliminary discussions are already underway with several automakers, highlighting a keen interest in collaboration amid ongoing market fluctuations, including tariffs and the resurgence of U.S. auto manufacturing.
The acquisition of Nikola’s facilities is anticipated to create hundreds of jobs within the U.S. workforce. Lucid plans to extend job offers to more than 300 former Nikola employees for various roles spanning manufacturing engineering, software development, assembly, vehicle testing, and warehouse support. The additional facilities will provide over 884,000 square feet of space, equipped with state-of-the-art manufacturing, warehousing, and environmental testing infrastructure, which will enhance Lucid’s operational flexibility.
Arizona Governor Katie Hobbs has stated that the deal represents an important milestone for Arizona’s workforce and the state’s EV manufacturing sector, benefiting local workers and the economy. This acquisition aligns with Lucid’s broader plans to ramp up production for vehicles such as the Lucid Gravity and its upcoming midsize platform models, charting a pathway for future growth amidst a competitive market.
Lucid Group’s acquisition comes against the backdrop of Nikola Corporation’s previous challenges, including its bankruptcy filing in February 2025 resulting from a scandal involving its founder, Trevor Milton. This turmoil led to significant job cuts affecting over 800 employees at two Arizona facilities. Conversely, Lucid has also faced its own set of difficulties, notably reducing its workforce by over 900 employees at its Casa Grande facility two years ago due to production setbacks.
Overall, Lucid Group’s acquisition of Nikola’s facilities not only signifies an essential step towards advancing its production footprint but also contributes to the job market and EV landscape in Arizona. As discussions progress with other automakers, Lucid aims to leverage its enhanced capabilities to establish itself as a leader in the electric vehicle sector.
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