Rivian Gets Another $1b From Volkswagen

Winter testing has been completed for nan VW ID EVERY1, nan first conveyance nether a associated task betwixt Rivian and Volkswagen Group to beryllium equipped pinch nan EV maker’s package and electrical architecture. That’s not conscionable advancement toward getting this conveyance into customers’ hands; it besides unlocks different $1 cardinal finance from Volkswagen Group into Rivian.

About $750 cardinal is coming successful nan shape of an equity investment. The different $250 cardinal is either equity aliases convertible debt, depending connected which prototypes Volkswagen Group provided to Rivian for testing. (The companies did not make this instantly clear.)

The German automotive elephantine has already invested a small much than $3 cardinal successful Rivian arsenic portion of nan associated venture. And there’s much to come. Rivian will beryllium capable to get up to $1 cardinal from Volkswagen Group starting successful October. Rivian besides gets different $460 cardinal equity finance from Volkswagen aft nan first conveyance goes connected waste utilizing nan associated venture’s tech. All told, nan woody could beryllium worthy arsenic overmuch arsenic $5.8 cardinal to Rivian.

The wintertime testing milestone costs has been delivered conscionable months earlier Rivian starts trading nan R2 SUV, which laminitis and CEO RJ Scaringe has said is “maybe nan astir important point we’ve launched to date.” Rivian is banking connected a very accelerated scaling of R2 accumulation and sales.