Rivian jumps as US$5-billion Volkswagen investment signals ‘vote of confidence’

) surged 40% premarket on Wednesday after a $5 billion investment from Volkswagen offered the loss-making startup more firepower to roll out new models to attract consumers in a slowing electric-vehicle market.

“It’s a big vote of confidence in the EV maker’s prospects,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown. Aptiv shares were down 5%, with Piper Sandler analysts saying the deal was a “red flag” for the company’s strategy. The company was set to add more than $4 billion to its market value of $12 billion, based on premarket movements. Its stock has lost nearly half its value this year after Rivian said in February it does not expect to produce more vehicles in 2024.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Rivian jumps on Volkswagen's $5 billion 'vote of confidence' investmentThe investment will also bolster Rivian's depleting cash reserves, further its target of becoming profitable on a gross margin basis later this year and help...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Rivian jumps on Volkswagen's $5 billion 'vote of confidence' investmentThe investment will also bolster Rivian's depleting cash reserves, further its target of becoming profitable on a gross margin basis later this year and help...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Rivian stock jumps on $5B Volkswagen investmentShares of Rivian Automotive (RIVN) jumped following the market close on Tuesday after Volkswagen (VWAGY, VOW.DE) announced it would invest up to $5 billion...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »