Rivian’s $2.5 Billion Financing Round

Jones Day advised Global Oryx Company Limited, a subsidiary of the Abdul Latif Jameel Companies and initial sponsor of Rivian.

Rivian, the electric vehicle company aiming to become the first to bring an EV pickup truck to market, has raised $2.5 billion in a round led by funds and accounts advised by T. Rowe Price Associates Inc.

New investors Soros Fund Management LLC, Coatue, Fidelity Management and Research Company and Baron Capital Group also participated. Existing shareholders Amazon and funds managed by BlackRock also joined the round. No new board seats have been added.

The huge influx of money helps further establish Rivian’s position as what is likely the most well-capitalized EV startup in the world. It will also bolster the company’s massive growth, as it has already opened up a half-dozen offices in and outside of the US and hired around 2,400 people.

This is by far the largest round Rivian has raised to date as the company and its founder and CEO R.J. Scaringe eschewed public markets and have instead turned to strategic funds and other private investors for capital. The round follows an active 2019 for the company that brought in $2.85 billion in funds through a series of investments. Rivian essentially hit that same mark in one fell swoop this time around.

Rivian was founded in 2009 and originally set out to build a Tesla Roadster-style sports car, but ultimately pivoted to designing an electric pickup truck and SUV. It stayed extremely quiet for nearly a decade, only emerging from stealth mode in mid-2018 ahead of the launch of its first two vehicles, the R1T (the pickup) and the R1S (the SUV), at that year’s LA Auto Show.

The Jones Day team was led by Stephen Olson (Picture).

Involved fees earner: Stephen Olson – Jones Day;

Law Firms: Jones Day;

Clients: Global Oryx Company Limited;

Author: Ambrogio Visconti