Tesla rival Rivian to go public in US —

Lazard advised. Rivian, the maker of the street-legal electric hypercar Riviera, will close the doors on its initial public offering in the United States on Thursday. It was disclosed last week that the company…

Tesla rival Rivian to go public in US —

Lazard advised.

Rivian, the maker of the street-legal electric hypercar Riviera, will close the doors on its initial public offering in the United States on Thursday.

It was disclosed last week that the company was planning to go public. The Nasdaq and Nasdaq OMX Group said Wednesday that Rivian will raise up to $725 million from the sale of 12.5 million shares.

Rivian’s offering is considered an over-allotment, allowing another 2.5 million shares to be sold should it see a “strong appetite” for them, according to a document filed with the Securities and Exchange Commission.

Here’s what that means for the small, but fast-growing, company:

The sale is big: Between the over-allotment and what Rivian plans to raise, it could be one of the largest offerings of the year.

The last big offering was from ridesharing startup Uber, which raised $1.25 billion back in January. The company also went public and its shares shot up on their first day of trading.

After being made public in April, Twilio was valued at $7.38 billion when it went public at $15 a share. And CSIQ, or China Shenzhen Battery Electric Vehicle, listed in Hong Kong in June at $9.62 per share.

Last year, Greenlight Capital famously sold off nearly all of its stock in Tesla. That stock traded at more than $280 a share at the beginning of 2018, then dropped to about $160 earlier this year.

Rivian’s offering price range of $16 to $18 a share values the company between $4.5 billion and $6.5 billion.

The company plans to list under the symbol FRPH.

Another high-profile electric car maker, Tesla, recently announced a separate IPO to help it pay down some of its debt.

Rivian’s hypercar is called the Riviera.

It’s been hyped as “the world’s most powerful luxury electric vehicle.”

The company took the Riviera on a 35-mile road trip from California to Nevada last year. In the wake of the trip, Rivian had added that it “offered no more than a 0.0 second time-to-zero acceleration and a fraction of a second of top speed.”

But Tesla claims to be the “world’s fastest production passenger car” with its car Model S. And a spokesman for Rivian told CNNTech in 2017 that the Riviera is already competitive with the Model S.

Rivian’s powertrain is designed by the same team that worked on Tesla’s Model S and Model X.

According to the company, it has 350 patents and “has the ambition to beat any rival when it comes to the transmission, torque, ratio and power” of its cars.

The company’s “Riviera isn’t just about sheer power,” the company’s website continues. “The driving experience is where the magic happens. The Riviera is more than just a thrill.”

The company was founded by Dan Kalkbrenner and Doug Field, who previously worked on Tesla’s autopilot software.

Rivian’s launch model is the Riviera Vision, which debuted in November 2017. It comes with a gull-wing door and priced around $450,000. It can go from 0 to 60 mph in 3.3 seconds.

Field said in an interview with CNBC last year that all Rivieras would be owned by individuals, not corporations, and that the company had raised $300 million in private funding.

This is the second IPO for Kalkbrenner.

In 2007, he sold an undisclosed stake in another electric car company called Tesla. In 2013, Tesla was founded by Kalkbrenner’s former company, and he and his firm, Kalkbrenner Automotive, own a stake in the automaker.

Tesla shares closed Wednesday down 3%.

– Casey McNerthney, CNNMoney

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