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Discussion Starter · #1 · (Edited)
Stefan Nicola
Mon, May 9, 2022, 12:59 PM·1 min read



(Bloomberg) -- Rivian Automotive Inc. sank 17% in U.S. premarket trading after a media report that Ford Motor Co. is selling 8 million of its shares in the electric-pickup maker at a discount.
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Ford’s sale is being handled by Goldman Sachs Group Inc., CNBC’s David Faber said in a tweet.

The U.S. manufacturer owns about 12% of the electric-vehicle hopeful, or just under 102 million shares after taking a stake prior to Rivian going public last year. An insider lockup period expired Sunday after the November share sale that saw the company’s market value briefly top $100 billion making the developer more valuable at the time than Ford and General Motors Co.

Rivian shares have since plunged after its pickup launch was slower than investors expected.
JPMorgan Chase & Co. is also selling a block of 13 million to 15 million shares in the manufacturer for an unknown seller, Faber reported, citing unidentified people. Both blocks are priced at $26.90 -- a discount of 6.7% to Friday’s close.

Irvine, California-based Rivian is a high-profile, well-funded newcomer to the growing pack of EV manufacturers. The IPO was the sixth biggest in U.S. history, generating more than $13 billion to fund growth. However, Rivian has struggled to ramp production of its products at an existing plant in Normal, Illinois, due to supply-chain pressures.
(Updates stock move in first paragraph.)

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Q2 Ford's results will look balance up a lot better , smart move a healthy profit from Fords electrik division. Now use the money wisely to invest in R & D in your own future products, rather than help build up a competition company that will cannibalise your own future pick-up/van sales
 

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Discussion Starter · #26 · (Edited)
The WSJ article I read said the Rivian factory is only running at about 10% so far........yikes.

While not the most opportune time to sell, it provides $$ for their own EV ramp up while simultaneously decreasing a "paper" loss (see their Q1 results).
Looking at Rivian Q1 pick-up sales 300 a month 2022 Q1 , you have to actually make sell things before you start to make a profit always golden rule in any business Rivian pick-up fails on both 300 sales that's absolutely dreadful, Ford's Lightning will deliver the goods at a more affordable price.

US 2022 Q1 SALES
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Bottom of the charts, virtually not selling a thing. MMMmmm must buy $5.4 billion shares in them. Ford could have given FOE a little bit of that money to develop a nice modern new RWD Cortina/Taunus sedan something to take on Tesla Model 3 with in Europe
 
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