Rivian gets another $1B from Volkswagen

Winter investigating has been completed for the VW ID EVERY1, the archetypal conveyance nether a associated task betwixt Rivian and Volkswagen Group to beryllium equipped with the EV maker’s bundle and electrical architecture. That’s not conscionable advancement toward getting this conveyance into customers’ hands; it besides unlocks different $1 cardinal concern from Volkswagen Group into Rivian.

About $750 cardinal is coming successful the signifier of an equity investment. The different $250 cardinal is either equity oregon convertible debt, depending connected which prototypes Volkswagen Group provided to Rivian for testing. (The companies did not marque this instantly clear.)

The German automotive elephantine has already invested a small much than $3 cardinal successful Rivian arsenic portion of the associated venture. And there’s much to come. Rivian volition beryllium capable to get up to $1 cardinal from Volkswagen Group starting successful October. Rivian besides gets different $460 cardinal equity concern from Volkswagen aft the archetypal conveyance goes connected merchantability utilizing the associated venture’s tech. All told, the woody could beryllium worthy arsenic overmuch arsenic $5.8 cardinal to Rivian.

The wintertime investigating milestone outgo has been delivered conscionable months earlier Rivian starts selling the R2 SUV, which laminitis and CEO RJ Scaringe has said is “maybe the astir important happening we’ve launched to date.” Rivian is banking connected a precise accelerated scaling of R2 accumulation and sales.