Rivian’s stock fell 10% following a $1.5 billion share offering and preliminary Q2 revenue of $1.55B-$1.65B.
Rivian (RIVN) announced a 75 million share offering of Class A common stock, with underwriters holding an option for 11.25 million additional shares. The base offering could raise $1.5 billion at a $20 share price, or $1.7 billion including the overallotment. Proceeds will fund general corporate purposes, including equity contributions for its Georgia manufacturing expansion under a Department of Energy loan agreement.
The company also disclosed preliminary Q2 revenue of $1.55 billion to $1.65 billion, up from $1.30 billion a year earlier. Higher vehicle deliveries drove growth, though lower average selling prices due to a higher mix of commercial vans partially offset gains. Cash reserves rose to $5.3 billion as of June 30, from $4.8 billion at the end of Q1.
Rivian’s stock dropped 10% in early trading Tuesday, reversing recent gains. The share sale follows a series of positive updates, including strong delivery numbers earlier this month.