Rivian Details $ 1 Billion Loss And Settlement With Amazon In IPO Filing

The presentation revealed new details about Rivian pact with Amazon, underscoring how the startup has linked its future to one of its biggest benefactors. The e-commerce giant will have exclusive rights to Rivian’s delivery vehicles for four years after receiving the first one, and will have the right of first refusal to purchase the vans for two years after that. Amazon has ordered 100,000 last-mile trucks by 2030, with the first 10,000 due this year.

But the filing shows that Amazon’s logistics unit is not required to buy any electric delivery vehicles from Rivian, and that it can still work with other potential automotive partners.

“While the EDV Agreement states that we will be reimbursed for certain development costs, it does not include any minimum purchase requirements nor does it restrict Logistics from developing vehicles or collaborating with or purchasing similar vehicles from third parties,” he said.

Rivian also revealed how many of its SUVs and trucks have been pre-ordered. Potential customers have deposited a $ 1,000 refundable non-binding rights deposit to purchase 48,390 R1T and R1S models.

$ 3.7 billion from war chests

Rivian posted a net loss of $ 994 million in the first six months of 2021, compared to a deficit of $ 377 million a year earlier, according to the filing. The company generates minimal income from the initial sales of its R1T, commercial trucks and vehicles, and does not generate income from the sales of other products. It had about $ 3.7 billion in cash and cash equivalents available as of June 30 to fund its growth.

The company’s other investors include T. Rowe Price Group Inc., Global Oryx Co. and Manheim Investments, the presentation showed.

“Rivian exists to create products and services that help our planet transition to carbon neutral energy and transportation,” wrote CEO Robert Scaringe in a letter to potential investors. “I hope you will join us on our journey to help drive the future of transportation.”

The startup revealed that as of this week, it operated six service centers in four states, including California, Illinois and New York, in addition to a 24/7 service support center in Michigan and 11 mobile service vehicles. Rivian had a network of 169 dedicated charging stations across the country, 24 of which are so-called fast charging sites.

The offering is led by Morgan Stanley, Goldman Sachs Group Inc. and JPMorgan Chase & Co. More than 20 banks are listed on the cover of its prospectus. The company plans to trade its shares on the Nasdaq under the symbol RIVN.

Rivian employs about 8,000 people worldwide. Its main factory in Normal, Ill., Is a former Mitsubishi Motors Corp. plant where production of the company’s debut consumer model has just begun.

Separately, Rivian said Friday that it had established a philanthropy called Forever to tackle climate change and pledged to invest 1 percent of its capital in the nonprofit.

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