US-based sustainable truck developer Rivian Automotive secured $700m on Friday in a funding round led by e-commerce and cloud computing group Amazon and backed by undisclosed existing shareholders.
Rivian is working on an all-electric pick-up truck and sports utility vehicle, both of which are expected to be commercially released in the US in late 2020, preceding a European launch the following year. It will manufacture the vehicles at a facility in the state of Illinois.
The latest round comes after $200m in debt financing from financial services firm Standard Chartered Bank in May 2018.
Rivian had previously received financing from car distributor Abdul Latif Jameel (ALJ) and diversified conglomerate Sumitomo but has not revealed specifics, and Bloomberg reported on Friday that it has now raised $1.5bn altogether, without giving more details.
Automotive manufacturer General Motors, touted as a possible participant in the round, has not yet invested but remains in talks with Rivian over a possible investment or collaboration, people familiar with the matter told Bloomberg.
ALJ is reportedly set to provide a further $500m for Rivian, according to Reuters, which did not reveal a timeframe nor whether the investment would constitute equity financing, debt or a combination of the two.
RJ Scaringe, founder and chief executive of Rivian, said in a statement announcing the funding: “Beyond simply eliminating compromises that exist around performance, capability and efficiency, we are working to drive innovation across the entire customer experience.
“Delivering on this vision requires the right partners, and we are excited to have Amazon with us on our journey to create products, technology and experiences that reset expectations of what is possible.”
Scaringe told Bloomberg the company plans to secure more strategic backing, less because of a requirement for funding and more because it seeks to broaden its network of partnerships.
Photo courtesy of Rivian Automotive LLC.
