📈The electric vehicle maker shares soars 36% in public debut
• Rivian Automotive Inc (RIVN.US) shares available at XTB
• One of most highly anticipated public offerings (IPO) this year
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Create account Try a demo Download mobile app Download mobile appRivian Automotive Inc. (RIVN.US) went public today in one of the biggest stock market IPO's since Facebook’s 2012 debut after pricing its initial public offering at $78 per share, well above its target range of $72 to $74, and raising about $11.9 billion. Company also sold 18 million more shares than expected. However the company’s stock opened 36% higher, namely at 106.75$ and valuation reached $90 billion
Rivian's biggest stakeholders include Amazon.com Inc., which owned 22.4% of its Class A stock heading into the IPO, and Ford Motor Co., which had a 14.4% stake. Both companies together with other major investors indicated in a filing that they planned to buy up to $5 billion worth of shares in the offering. Company revealed in its amended IPO prospectus that it will lose up to $1.28 billion in the third quarter and that revenue will range from zero to $1 million. Rivian, which currently describes itself as a "developmental stage company", has not generated any material revenue to date.
However this could change in the future as Amazon has ordered 100,000 of Rivian's upcoming electric delivery vans, which will be delivered by 2030. According to internal testing, the 700-cubic-foot EDV has 201 miles of range on a single charge. By the end of 2021, Rivian intends to produce and deliver approximately 10 EDVs. Also, the company accepted about 55,400 pre-orders for its R1T trucks and preorders for its R1S SUVs in the United States and Canada as of Oct. 31, which it expects to fill by the end of 2023. Rivian's manufacturing facility in Normal, Illinois is currently able to produce up to 150,000 vehicles annually.
Rivian (RIVN.US) stock price is clearly gaining in the first session. XTB clients may invest in the company using classic stocks or CFDs. Source: xStation5
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