Rivian Automotive (RIVN) shares fell more than 10% in premarket trading Tuesday after the electric vehicle maker announced a public offering of 75 million shares of its Class A common stock.
The capital raise comes just days after the stock surged 19.2% last week and climbed another 8.1% on Monday, suggesting the market had briefly priced in improved sentiment before the dilution news hit.
By selling 75 million shares, Rivian is likely raising approximately $1.
The offering represents a significant injection of liquidity for the automaker, which continues to navigate the high capital intensity of scaling EV production.
By selling 75 million shares, Rivian is likely raising approximately $1.5 billion, assuming a price near recent trading levels.
This move underscores the ongoing tension between growth ambitions and balance sheet sustainability in the EV sector.
The sharp reversal in Rivian’s stock price mirrors broader market skepticism toward equity raises in the tech and EV space.