Amazon has increased its stake in electric vehicle maker Rivian

Young electric car maker Rivian's IPO filing included a note about “high-profile investors” who showed interest in buying up to $ 5 billion of its shares at a starting price. One such investor is Amazon, which has increased its stake in the company.

Amazon has increased its stake in electric vehicle maker Rivian


According to official documents, Amazon acquired Rivian's stake for about $ 200 million at an IPO price of $ 78 per share. A total of 2,564,102 shares were purchased. Thus, the total share of Amazon in the assets of Rivian is 158,363,834 shares, which is $ 20,579,380,228.3 when the market price of the share at the close of trading was $ 129.95. Since the trading giant paid just $ 78 per share in the last tranche, it initially saw upside potential of over $ 133 million.

In percentage terms, the volume of shares repurchased by Amazon was 1.6% of all marketable assets of Rivian. And taking into account previous investments, even before the IPO stage, Amazon's share in the automaker's capital increased to about 22%. The company's public listing was a major event, resulting in a massive fundraising and significant increase in the market capitalization of an electric vehicle manufacturer. According to Yahoo Finance, Rivian was worth $ 127 billion at the end of the week.

Given that the company produced just 12 electric vehicles in the third quarter, the cost of Rivian was about $ 10 billion per unit of production in the last reporting period. In the near future, this ratio will, of course, decrease.

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