Amazon-backed EV maker Rivian discloses nearly $1 billion losses in IPO filing

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(Businesshala) – Amazon.com Inc and Ford-backed Rivian Automotive disclosed losses of nearly $1 billion in the first half of the year, the electric-automaker’s US IPO filing showed on Friday.

FILE PHOTO: The logo of electric vehicle startup Rivian is seen on the hood of its new R1T all-electric truck in Mill Valley, California, US January 25, 2020. Businesshala / Nathan Frandino / FILE PHOTO

The company is increasingly investing in the production of its electric vehicles, including its upscale all-electric R1T pickup truck, which launched last month, beating out competition from more established rivals like Tesla Inc., General Motors and Ford. Was.

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Rivian had about 48,390 pre-orders for its R1T pickup truck and R1S SUV in the United States and Canada as of last month.

The company is currently pursuing a two-track strategy: building electric delivery vans for Amazon and developing an electric pickup and SUV brand aimed at the affluent.

Amazon has ordered 100,000 of Rivian’s electric delivery vans as part of a massive effort to cut the e-commerce giant’s carbon footprint.

Rivian said Friday that it would list its shares on the Nasdaq under the symbol “RIVN.”

Founded in 2009 by RJ Scaring as Mainstream Motors, the company changed its name to Rivian in 2011. “Rivian” is derived from “Indian River” in Florida, a spot scarring frequented by a rowboat as a youth.

Scaring said Friday that the company will hold 1% equity in its environmental program called “Forever,” which aims to help address climate change and preserve wildlands and waterways.

Rivian, which confidentially filed paperwork with regulators for its IPO in August, has yet to set terms for its offering. However, Businesshala reported in September that it may seek a valuation of around $80 billion, which could raise to $8 billion in its IPO.

For the six months ended June 30, Rivian’s net loss increased to $994 million from $377 million a year ago, the company said in its filing with the US Securities Exchange Commission.

Morgan Stanley, Goldman Sachs and JP Morgan are the principal underwriters for the Rivian IPO.

Reporting by Niket Nishant, Uday Sampath Kumar and Subrata Patnaik in Bengaluru, additional reporting by Ben Kellman in Detroit; Editing by Shinjini Ganguly

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