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(Bloomberg) – Amazon.com Inc.-backed electric pickup maker Rivian Automotive Inc. disclosed a net loss of nearly $ 1 billion in the first half of the year in its public offering documents initial.
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The Irvine, Calif., Based startup in a filing Friday with the U.S. Securities and Exchange Commission said the offer amount was $ 100 million, a placeholder that will change when terms of the sale of shares will be fixed.
Rivian was looking to be valued at around $ 80 billion in a listing, Bloomberg News reported in August when the company announced it had confidentially filed for an IPO.
The company’s IPO plans come as electric vehicle makers expand, aiming for a greater share of the growing market. With $ 10.5 billion raised from backers such as Amazon and Ford Motor Co., an Illinois-based factory, and thousands of reservation holders for its R1T truck and R1S sport utility vehicle, Rivian is making among the most serious competitors lining up to take on the leader in electric vehicles. Tesla Inc.
The dossier revealed new details of Rivian’s pact with Amazon, highlighting how the startup has tied its future to one of its biggest benefactors. The e-commerce giant will have the exclusive rights to Rivian’s delivery vehicles for four years after receiving its first, and it gets the right of first refusal to purchase the vans for two years after that. Amazon has ordered 100,000 last mile trucks by 2030, with the first 10,000 due for delivery this year.
But the record shows that Amazon’s logistics unit is not required to purchase electric delivery vehicles from Rivian – and that it can still work with other potential auto partners.
“Although the EDV agreement provides that we will be reimbursed for certain development costs, it does not include any minimum purchase requirements or prevent the logistics of developing vehicles or working with, or purchasing similar vehicles. with third parties, ”he said.
Rivian also revealed how many of his SUVs and trucks have been pre-ordered. Prospective customers have deposited a refundable deposit of $ 1,000 for the non-binding rights to purchase 48,390 R1T and R1S models.
$ 3.7 billion war chest
Rivian recorded a net loss of $ 994 million in the first six months of 2021, down from a deficit of $ 377 million a year earlier, according to the filing. The company generates minimal income on the initial sales of its R1T, commercial pickup truck, vehicles and does not generate any income on the sale of other products. It had approximately $ 3.7 billion in cash and cash equivalents as of June 30 to fund its growth.
Other investors in the company include T. Rowe Price Group Inc., Global Oryx Co. and Manheim Investments, according to the filing.
“Rivian exists to create products and services that help our planet make the transition to carbon neutral energy and transportation,” Founder and CEO Robert Scaringe wrote in a letter to potential investors. “I hope you will join us on our journey to help drive the future of transportation.”
The startup revealed that as of this week, it operated six service centers in four states, including California, Illinois and New York, in addition to a 24/7 support center in Michigan and 11 mobile service vehicles. Rivian had a network of 169 dedicated charging stations across the country, including 24 so-called fast charging sites.
The offering is led by Morgan Stanley, Goldman Sachs Group Inc. and JPMorgan Chase & Co. More than 20 banks are listed on the cover page of its prospectus. The company plans to trade its shares on the Nasdaq under the symbol RIVN.
Rivian employs approximately 8,000 people worldwide. Its main plant in Normal, Illinois is a former Mitsubishi Motors Corp. plant. where production of the company’s first consumer model has just started.
Separately, Rivian said on Friday that he had created a philanthropic organization called Forever to fight climate change and pledged to invest 1% of his equity in the nonprofit.
(Updates with additional details of the fifth paragraph filing.)
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