Venture Capital: Electric Vehicle Maker Rivian’s Monster Funding Round

December 26, 2019 | Latest News, News, Venture Capital

Rivian just raised $1.3 billion from top-notch investors.

The humongous new raise, led by T Rowe Price, added $1.3 billion to Rivian’s coffers. It included existing investors Ford Motor and BlackRock Inc also invested in the round, according to Fortune.

This raising follows on previous funding this year of $1.55 billion from Amazon ($700 million), Ford ($500 million), and Cox Automotive ($350 million). Moreover, in 2018, Rivian raised $450 million with backing from Saudi Arabia-based investment group Abdul Latif Jameel, Sumitomo Corp., and London’s Standard Chartered Bank.

However, the automaker has not revealed its aggregate funding to date, nor the valuation for its latest fundraise.

Founded in 2009, Rivian plans to launch an all-electric pickup truck, the R1T, and the R1S SUV, starting in late 2020. Pre-orders start at $69,000 for the R1T, and at $72,500 for the R1S. Both models are based on a Rivian-designed chassis that bundles an electric motor with batteries and controls. A variety of body styles can be built on the chassis or the so-called “skateboard.” Furthermore, the company’s vehicles are suitable for both on-road and off-road driving.

By 2021, Rivian is scheduled to start delivering on an order for 100,000 electric delivery vehicles from Amazon.

The company has R&D facilities across the globe, and a 2.6-million-square-foot manufacturing facility in Normal, Ill. The latter is a refurbished auto assembly plant acquired from Mitsubishi Motors.

Solid prospects

“T. Rowe Price is excited to invest in Rivian as it moves the innovation frontier forward with its compelling sustainable transport solutions for both consumers and businesses,” said T. Rowe Price Growth Stock Fund portfolio manager Joe Fath.

“We want to maintain a meaningful value in the ownership and future of that company,” Ford spokesperson T.R. Reid said. Meanwhile, Ford’s first electric vehicle, a Lincoln SUV, will be based on Rivian’s chassis.

“This investment demonstrates confidence in our team, products, technology and strategy,” Rivian Chief Executive R.J. Scaringe said in a statement.

Related Story: Automaker Ford Using Artificial Intelligence To Optimize Daily Driving                                                   

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Latest Alternative Investment News
Blackstone Acquires Largest Consumer DNA Database
August 7, 2020     Alternative Investments, Private Equity

Private Equity Meets Both Privacy Concerns and Major Growth in Next-Generation Industry.  The PE space is buzzing over private equity giant Blackstone’s acquisition of DNA testing company Ancestry.  The firm…
Private Equity: Ares Raises $5 Billion En Route To $30 Billion 2020 Haul

Ares Leapfrogs Competitors Through Pandemic.  Investment firm giant Ares has raised $5 billion for its private equity fund in the second quarter.  The firm’s goal is to raise up to…
Alternative Investments/Real Estate: HOMZ ETF Issuer To Ring NYSE Closing Bell To Mark Fee Cut
August 6, 2020     Alternative Investments, News, Real Estate

The Hoya Capital Housing ETF (NYSE: HOMZ) announced Wednesday a cut in its expense ratio from 0.45% to 0.30%, effective from August 1, 2020. It claimed that it has the…
FinTech: Grab Financial Flags Off A Bouquet of New Services
August 6, 2020     FinTech, News

Grab Financial Group Expands Suite of Products Under ‘Thrive with Grab’ Strategy