Rivian’s 75 million share offering sparks sector-wide dilution fears
Rivian’s stock price plummeted 14% after the company announced a 75 million share offering, valued at around $1.5 billion.
The offering has sparked fears of dilution across the electric vehicle sector, with Lucid’s stock falling 9% and Tesla’s shares down 3%.
The proceeds from the offering will be used for general corporate purposes, including equity contributions.
The sharp reversal in stock prices underscores the volatility of the EV sector, which had rallied on Monday with Tesla, Rivian, and Lucid all posting gains.