Rivian Has Blockbuster IPO, Musk Throws Shade at Rival
Rivian, the Amazon- and Ford-backed electric vehicle company, started its initial public offering on the Nasdaq under the ticker symbol “RIVN” on Nov. 10 in what has become 2021’s biggest IPO. It also places the company in the second spot behind Tesla as the largest U.S. carmaker.
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This pushed Tesla CEO Elon Musk to throw some shade at Rivian via Twitter.
Rivian shares were up 57% in their first two days on the Nasdaq. R.J. Scaringe, who founded Rivian in 2009, owns 17.6 million shares valued at $2.2 billion based on Thursday’s closing stock price of $122.99, CNBC reported.
Rivian ended its first day as a public company valued at almost $88 billion, more than tripling its last private valuation, putting the EV maker on par with General Motors Co. and making it more valuable than Ford Motor Co., one of its top investors, as well as EV rival Lucid Group Inc., Bloomberg reported. On a fully diluted basis, including options and restricted stock units, the Irvine, Calif.-based company is valued at about $98 billion, according to Bloomberg. The company raised $12 billion, the biggest haul for a US firm since Facebook brought in $16 billion in 2012, CNN reported.
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On Nov. 9, the eve of the IPO, Rivian said it had upsized its IPO of 153,000,000 shares at a public offering price of $78 per share, compared to the $72 to $74 initial price, according to a statement.
On Nov. 11, Musk tweeted, “I hope they’re able to achieve high production & breakeven cash flow. That is the true test. There have been hundreds of automotive startups, both electric & combustion, but Tesla is [the] only American carmaker to reach high volume production & positive cash flow in past 100 years.”
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