Shares of Rivian Automotive Inc. surged 41% in extended trading Tuesday after Volkswagen AG announced a $1 billion investment in the electric vehicle maker. The investment, which will give Volkswagen a 1.5% stake in Rivian, is a major vote of confidence in the company's future prospects.
Rivian Automotive Inc.'s stock soared 41% in extended trading Tuesday after Volkswagen AG announced a $1 billion investment in the electric-vehicle maker. The investment, which will give Volkswagen a 1.5% stake in Rivian, is a major vote of confidence in the company's future prospects.
Rivian's Stock Soars on $1 Billion Volkswagen Investment
Volkswagen's investment will be used to fund Rivian's development of electric vehicles and autonomous driving technology. The two companies will also collaborate on the development of a new electric vehicle platform.
Rivian is one of the most promising electric vehicle startups in the world. The company has a strong track record of innovation and has developed a number of cutting-edge technologies. Rivian's vehicles are also highly anticipated by consumers, and the company has a large number of pre-orders for its vehicles.
Volkswagen is investing in Rivian as part of its efforts to transition to electric vehicles. The company has set a goal of selling 1 million electric vehicles per year by 2025. Volkswagen's investment in Rivian will help the company to achieve this goal.
The partnership between Rivian and Volkswagen is a major development in the electric vehicle industry. The two companies have complementary strengths, and the partnership will allow them to accelerate the development of electric vehicles and autonomous driving technology.
Rivian's stock has been on a tear since the company went public in November 2021. The stock has risen more than 100% since its IPO, and the company's market capitalization now exceeds $100 billion. The Volkswagen investment is likely to further boost Rivian's stock price.
Rivian is well-positioned to become a major player in the electric vehicle industry. The company has a strong team, innovative technology, and a large number of pre-orders for its vehicles. Volkswagen's investment is a major vote of confidence in Rivian's future prospects.
* Rivian is based in Irvine, California.
* The company was founded in 2009.
* Rivian has raised more than $10 billion in funding.
* The company's vehicles are expected to go on sale in 2022.
Rivian's stock is a buy. The company is well-positioned to become a major player in the electric vehicle industry, and Volkswagen's investment is a major vote of confidence in Rivian's future prospects.
