Electric pickup truck maker Rivian aims for $ 50 billion IPO

Electric pickup truck maker Rivian is reportedly considering an IPO that will go public later this year at $ 50 billion.

SPAC EV Frenzy

In recent months, there has been a strong tendency for EV companies to go public through reverse PSPC mergers.

Fisker, Arrival, Lion Electric, Lordstown Motors, Proterra, Faraday Future, and others have all made or announced PSPC deals.

The trend started amid Tesla having an amazing performance in the stock market and other EV companies trying to ride the momentum and raise more money.

While some of these deals have been criticized due to the fact that several of these companies have little or no income and / or are close to production, it has also helped funnel more money into the transition to electric vehicles. .

Rivian goes the good old fashioned way

Rivian is one of the few electric vehicle companies that hasn’t jumped off the PSPC bandwagon.

The main reason is that they have no problem raising funds privately.

In February 2019, Rivian received a $ 700 million funding round led by Amazon, and Ford invested $ 500 million in the electric pickup startup two months later.

The startup also added Cox Automotive as an investor with a round of $ 350 million in September. He capped off his 2019 with a massive $ 1.3 billion funding round in December.

In 2020, the company returned to banking and managed to raise an additional $ 2.5 billion from existing investors as well as T. Rowe Price Associates, a large investor in Tesla.

They started 2021 on a strong footing with another $ 2.6 billion funding round that closed last month.

Now Bloomberg reports that Rivian is considering an IPO later this year with a valuation of around $ 50 billion:

Rivian Automotive Inc., the electric vehicle start-up backed by Amazon.com Inc. and Ford Motor Co., is looking to go public as early as September with a valuation of around $ 50 billion and possibly more, according to people familiar with the subject. “

Unlike the companies mentioned earlier, Rivian would go for a traditional IPO instead of entering into a PSPC deal.

In addition, with its first deliveries scheduled for June, the manufacturer would wait to have income before going public.

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