Ford Reduces Huge Stake In Rivian CarBuzz News Features New Cars Used Cars Sell My Car Shopping Tools Car Reviews Car Finder Compare Cars Best Cars Car Dealerships Used Car Reviews Car Advice Home News Ford Reduces Huge Stake In Rivian
Ford Reduces Huge Stake In Rivian
May. 08, 2022 6:53 PM ET by Chase Bierenkoven Electric Vehicles / 7 Comments The Blue Oval seems to have lost a little faith in RJ Scaringe. As you may well know by now, Ford has a pretty sizable investment in EV manufacturer Rivian. The relationship has been, to put it mildly, a bit tumultuous. The two brand's EV project was put to bed back in November, but Ford has maintained its financial stake in Rivian despite some controversy coming out of CEO RJ Scaringe's stable. Scaringe has previously said favoritism has made getting chips difficult and cites that as the reason for the brand's production woes. We previously reported that Ford won't be selling that stake in Rivian despite these issues back in February, but that could now be changing. As of now, Ford's stake in Rivian is worth north of $8 billion, a fair bit more than the brand's initial $1.2 billion investment in Scaringe and Co. Now, the makers of the Rivian R1T might be losing that Dearborn backing. Rivian Rivian Rivian A source reported to CNBC that Ford is going to sell 8 million of its shares in Rivian Automotive. Right now, Ford owns 102 million shares in Scargine's company. However, the transaction will only take place once a lockup for Rivian stock expires this Sunday. As of this article's publishing, the shares have not been sold. Additionally, a statement has not yet been issued by Ford. For those on the outs of stock trading terminology, a lockup is a period of time after a company like Rivian goes public- which it did on November 10th- when investors like Ford can no longer sell their shares. Essentially, this helps to make sure the initial public offering of a company goes smoothly, and that no one backs out in the process. Rivian Rivian Rivian Rivian CNBC also reported that JPMorgan Chase is going to dump around 13-15 million shares to an as-yet-unnamed seller. As of now, this spells bad news for Rivian. The brand has struggled to meet demand, like so many others, as a result of supply chain shortages. There's also been a good deal of controversy resulting from a shift in pricing for cars like the Rivian R1S- the brand's first SUV. What these sales will spell for the future of Rivian is unclear. Demand for the company's products is incredibly high, but so are levels of concern at the brand's ability to deliver. We've seen several R1Ts sell for big money online, but that doesn't mean most consumers are willing to pay such prices for one off the factory line. Rivian Rivian Rivian Source Credits: CNBC Join The Discussion
Show Comments (7) Gallery
13 Photos Tags: #Rivian News #Electric Vehicles #Industry News #Rumor Related Cars
Rivian R1T Truck Rivian R1S SUV Chase Bierenkoven Associate Editor Shortly before applying to law school, Chase decided to take a chance on pursuing his dream job: playing with cars and getting paid for it. Law school was just a means to an end, after all. His first writing job was freelance and barely paid his grocery bill. It quickly turned into a full-time position, eventually leading Chase to join CarBuzz in 2022. Chase now tests cars, and sits comfortably at the news desk when he's not in the driver's seat. In his spare time, Chase can be heard trying to play guitar, or out enjoying Colorado's natural splendor in his BMW M3. Contact Chase @bierenkoven @cbier823 LoginSign Up Home News Features Car Reviews Car Advice 2021 CarBuzz Awards New Cars Used Cars Future Cars Compare Cars Sell My Car Car Dealerships Buy Here Pay Here Used Car Reviews Popular Tags Cars # Video # TOP # Spy Shots # Reveal # Rumor # Auto Show # Supercar # Tuning # Car Culture # Industry News # Motorsport Acura Alfa Romeo Aston Martin Audi Bentley BMW Bollinger Bugatti Buick Cadillac Caterham Chevrolet Chrysler Dodge Ferrari Fiat Fisker Ford Genesis GMC Hennessey Honda Hyundai Infiniti Jaguar Jeep Karma Kia Koenigsegg Lamborghini Land Rover Lexus Lincoln Lordstown Lotus Lucid Motors Maserati Mazda McLaren Mercedes-Benz Mini Mitsubishi Nissan Pagani Polestar Porsche Ram Rimac Rivian Rolls-Royce Spyker Subaru Tesla Toyota Volkswagen Volvo By Make Acura Alfa Romeo Aston Martin Audi Bentley BMW Bollinger Bugatti Buick Cadillac Caterham Chevrolet Chrysler Dodge Ferrari Fiat Fisker Ford Genesis GMC Hennessey Honda Hyundai Infiniti Jaguar Jeep Karma Kia Koenigsegg Lamborghini Land Rover Lexus Lincoln Lordstown Lotus Lucid Motors Maserati Mazda McLaren Mercedes-Benz Mini Mitsubishi Nissan Pagani Polestar Porsche Ram Rimac Rivian Rolls-Royce Spyker Subaru Tesla Toyota Volkswagen Volvo By Car Type SUVs Crossovers Sedans Coupes Trucks Sports Cars Wagons Vans Hatchbacks Convertibles Small Cars Luxury Cars Electric Cars Hybrid Cars Future Cars By Price Up to $15K $15K - $25K $25K - $35K $35K - $45K $45K - $55K $55K - $75K $75K - $100K $100K - $200K $200K - $300K Above $300K Back To Top