Rivian aims to raise up to $ 8 billion in IPO, sources say

Rivian, the Amazon.com-backed electric vehicle maker that registered for its public debut last month, aims to raise between $ 5 billion and $ 8 billion with the listing, making it one of the most major initial public offerings in recent years in the United States, according to people. familiar with the subject.

Rivian, which counts Ford Motor and T. Rowe Price among its investors, filed the IPO confidentially with US regulators last month. He is looking for a valuation of around $ 80 billion in the list, which is expected to land in late October or November, the sources said.

Rivian declined to comment.

If Rivian raises $ 8 billion on the IPO, it would rank fourth in the last decade in the United States. Only three other companies have raised more than $ 8 billion in IPOs since 2011, according to Dealogic: Alibaba, which raised a world record of $ 25 billion in 2014; Facebook, which raised $ 16 billion in 2012; and Uber, which raised $ 8.1 billion in 2019.

The proceeds from the IPO will allow Rivian to expand production beyond its assembly plant in Normal, Illinois. The startup said it was in talks with several sites to build a second plant in the United States, which documents seen by Reuters show would include an investment of at least $ 5 billion.

Rivian has not provided details on his IPO plans, but he is expected to reveal his finances for the first time on a public record in the coming weeks.

California-based Rivian is among the best-funded U.S. startups, having raised $ 10.5 billion since the start of 2019. Other investors include BlackRock Inc, Soros Fund Management, Fidelity, and Saudi automotive distributor Abdul Latif Jameel ( ALJ).

While Rivian has been dubbed the ‘Tesla Killer’ in some circles, he’s still tiny compared to Tesla Inc, which boasts a market cap of nearly $ 740 billion and plans to build a pickup truck that would rival it. Rivian’s own version, the R1T.

Rivian’s IPO is expected to close another record year for IPOs in the United States. Companies have raised more than $ 230 billion so far this year through the sale of shares, according to Dealogic data, and are on track to raise tens of billions more before the end of the year.

Founded as Mainstream Motors in 2009 by Managing Director RJ Scaringe, the company changed its name to Rivian in 2011. “Rivian” is derived from “Indian River” in Florida, a place Scaringe used to frequent in a rowboat in his. youth.