Amazon increases its stake in electric vehicle tech startup Rivian to 20%, bringing its total equity to $3.8 billion
In July, electric vehicle startup Rivian announced it raised $2.5 billion in funding led by Amazon and Ford to bring electric pickup trucks and delivery vans to market. With the success of Tesla, Rivian is now one of the dozens of startups in the crowded EV space looking to ride the electric vehicle revolution. The round, which also includes T. Rowe Price, brought the total funding raised by the company to about $10.5 billion.
Now, we just learned that Amazon invested additional money in the Plymouth, Michigan-based company. On Friday, Amazon revealed in SEC filings that it now holds a 20% stake Rivian, with a carrying value of $3.8 billion, up from $2.7 billion on Dec. 31. In the filing, Amazon said:
“As of December 31, 2020 and September 30, 2021, equity investments not accounted for under the equity-method and without readily determinable fair values, including preferred stock of Rivian Automotive, Inc. representing an approximately 20% ownership interest, had a carrying value of $2.7 billion and $3.8 billion, and are recorded within “Other assets” on our consolidated balance sheets with adjustments recognized in “Other income (expense), net” on our consolidated statements of operations.”
As we reported back in July, Amazon said back in September 2019 that it planned to purchase 100,000 electric vehicles from the start-up as part of its push to make its fleet run entirely on renewable energy.
Founded in 2009 by Robert J. Scaringe, Rivian is the world’s first electric adventure vehicle. The company is developing vehicles, technology, and services that inspire people to get out and explore the world. Rivian is an automotive technology company that develops products and services to advance the shift to sustainable mobility.
“As we near the start of vehicle production, it’s vital that we keep looking forward and pushing through to Rivian’s next phase of growth,” Rivian CEO RJ Scaringe said in a statement.
Rivian originally planned to launch its R1T pickup truck and R1S sport utility in the U.S. in 2020 but was later delayed. Last week, Rivian notified buyers it is delaying deliveries of the R1T pickup until September and the R1S SUV until later in the fall. Now the company plans to test its electric delivery vans in 16 cities by the end of 2021.