Aston Martin will receive engine from Lucid Group, the American automaker that makes the Air electric sedan, for its future electric vehicle models, the companies said in a statement today. The British luxury carmaker plans to launch an electric vehicle in 2025.
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The agreement represents a new step for Lucid and gives it the opportunity to operate as a supplier and grow its revenue sources.
Lucid is seeking to meet delivery expectations and grow demand for its luxury electric vehicles, but it has struggled to grow revenue. In March, Lucid laid off 18% of its employees.
Not long ago, the startup announced a new product derived from the electric drive unit and designed specifically for use in motorsports.
Under the terms of the agreement, Aston Martin will make a series of small cash payments to Lucid and give the company a 3.7% stake, or approximately 28,352,273 common shares. The total value of the shares and payments is expected to be approximately $232 million.
See also: Lucid Air: The first electric car with a range of 520 miles
Lucid will assist Aston Martin with technical support as it utilizes Lucid's electric powertrain technologies , such as the dual-motor drivetrain, battery technology, and integrated charging module called the Wunderbox .
“Combined with our in-house development, this will allow us to create a single tailored BEV platform suitable for all future Aston Martin products, from supercars to sports cars and SUVs,” said Roberto Fedeli, Aston Martin’s chief technology officer.
Aston has already incorporated engines and other technologies into its cars. Recently, Chinese company Geely increased its stake in Aston by 17%.
See also: Lucid Air: Is it better than Tesla's electric cars?
On Tuesday, Aston Martin will announce a strategic update setting out new production targets.
