New Delhi, July 15 -- NEWARK, Calif. - Lucid Group's shares lost more than half their value in a single session on Tuesday after a report suggested the electric vehicle maker was considering bankruptcy, producing the company's largest intraday decline on record. By mid-afternoon, shares traded at $4.72, roughly 14 percent below the opening price, as reported by TechCrunch.

Lucid's chief communications officer, Nick Twork, denied the report in a statement. "The company has sufficient liquidity to carry its operations well into next year," Twork said. The company said it had no intention of filing for bankruptcy and characterized the report as inaccurate on its core claims.

At the center of the market's concern is AlixPartners, the consul...