Rivian IPO raises a whopping $11.9 billion for electric truckmaker
Cha-ching: It's the largest initial public offering of 2021.
Rivian is ready to roll on the stock exchange.
Rivian, as the kids (maybe?) say, made bank this week. On Tuesday, the electric truck startup announced the results of its initial public offering, and it hauled in a massive $11.9 billion after selling 153 million shares of Class A common stock at $78 apiece. That values the company at a notional $76.4 billion, just shy of major investor Ford's $79.84 billion market cap.
Rivian's IPO is the largest in the US this year, and the sixth-largest ever, Fortune reports.
The proceeds do not include expenses Rivian will need to pay for underwriting, nor other discounts and commissions the company is responsible for. However, the funds will be more than enough to keep Rivian humming after it posted losses in the past year and a half.
In 2020, Rivian lost $377 million, and in the first six months of this year, the startup posted a net loss of $994 million, which it says is because the pandemic hurt its ramp-up to series production -- and starting production of any vehicle costs a ton of money. Rivian began building the first R1T customer vehicles in September at its factory in Normal, Illinois.
The Amazon- and Ford-backed truckmaker's shares will begin trading Wednesday on the Nasdaq Global Select Market on the ticker "RIVN," and the offering will close on Nov. 15.
Read more: The Rivian R1T was a near-perfect rig for the 2021 Rebelle Rally
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