Rivian goals for as much as $54.6 billion valuation in upcoming IPO

Electrical automobile start-up Rivian Automotive is focusing on a market valuation of as a lot as $54.6 billion in its upcoming preliminary public providing, in response to its amended prospectus filed Monday.

The corporate mentioned it plans to supply 135 million shares priced between $57 and $62, with an choice for underwriters to buy as much as 20.25 million further shares. On the excessive finish of that vary, Rivian would usher in roughly $9.6 billion in its market debut, assuming underwriters train that choice.

Nevertheless, these numbers might change based mostly on precise demand from traders earlier than the corporate goes public. Earlier on Monday, sources instructed CNBC that it might search a valuation of greater than $60 billion.

Rivian R1T electrical truck

Supply: Rivian

Rivian plans to go public as quickly as subsequent week, sources accustomed to the matter confirmed to CNBC. It plans to listing on the Nasdaq beneath the ticker image “RIVN,” in response to Rivian’s IPO prospectus filed final month.

In Monday’s submitting, Rivian mentioned traders, together with Amazon and T. Rowe Worth, have indicated an curiosity in shopping for as much as $5 billion in shares in combination on the time of the IPO. The corporate mentioned it should additionally give retail traders entry to buy a portion of its IPO shares by way of SoFi’s on-line brokerage platform.

The valuation would make Rivian the titan amongst a crop of electrical automobile start-ups and lately public firms from the U.S., together with Fisker, Lordstown Motors and Lucid, and would put it on par with Chinese language electrical automobile maker Nio. It might additionally imply Rivian is simply barely much less beneficial than conventional automotive giants corresponding to Ford, which is an investor in Rivian; Stellantis, which was created from the merger of Fiat-Chrysler and PSA; and GM.

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Rivian is creating industrial last-mile supply vans for Amazon, which has mentioned it plans to have 10,000 vans on the street by 2022 and 100,000 by 2030. Rivian additionally beat Tesla, GM and Ford to the market with an electrical pickup, the R1T, which has acquired early acclaim. The corporate famous in its amended prospectus that it is delivered 156 R1Ts as of the top of October, and plans to ship 1,000 by the top of the 12 months.

Amazon final week disclosed it has a 20% stake in Rivian, which, mixed with different fairness investments, had a carrying worth of as much as $3.8 billion. Amazon has invested greater than $1.3 billion in Rivian up to now, the automaker mentioned in a separate securities submitting earlier this month.

Ford holds a roughly 12% stake in Rivian, sources had instructed CNBC.

WATCH: Amazon reveals it has 20% stake in Rivian

Amazon reveals 20% stake in Rivian

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