DISTRESSED DAILY: Convertible Bond Woes Crimp Lucid’s Options

Electric car startup Lucid Group Inc. may sell more stock to the raise cash it will need next year instead of going back to the debt market, Bloomberg Intelligence analyst Joel Levington said.

The company will probably need money as early as next year as it builds out its supply chain and ramps up production of its Lucid Air sedan, which starts at $77,400 for the base model.

Returning to the convertible debt market, which Lucid tapped in December for $2 billion, probably won’t be an option anytime soon after the company’s dismal stock performance.

Lucid’s 1.25% convertible bonds due ...