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Ford Motor Sells 8 Million Rivian Shares for $214 Million

Published 05/11/2022, 01:38 AM
Updated 05/11/2022, 06:10 AM
© Reuters.  Ford Motor (F) Sells 8 Million Rivian (RIVN) Shares for $214 Million

Ford Motor (NYSE:F) offloaded eight million shares of U.S. electric vehicle maker Rivian (NASDAQ:RIVN) for a total of $214 million, or $26.80 per share.

Shares of Rivian plunged more than 20% over the weekend on the news that Ford is planning to sell a small portion of its stake.

The sale reduces Ford’s stake in Rivian to 10.5% or 94 million shares, though it still remains the fourth-biggest shareholder in the electric carmaker. The largest Rivian shareholder is the investment management firm T.Rowe Price Associates with an 18.2% stake, followed by Amazon (NASDAQ:AMZN) with a stake of 17.7%.

Rivian continues to see increased competition in the electric car market including Ford’s F-150 Lightning electric pickup truck and grapple with supply chain constraints.

The Irvine, California-based company trimmed its 2022 production target in half to 25,000 vehicles.

Rivian shares are down over 85% from all-time highs set in November last year.

By Senad Karaahmetovic

 

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