Ford Motor (NYSE:F) reportedly plans to dump 8M of its 102M-share stake in Rivian Automotive (NASDAQ:RIVN) once the struggling EV maker’s post-IPO lockup period expires Sunday.
CNBC quoted unnamed sources Saturday as saying that the automaker intends to sell the stock through Goldman Sachs at a time when RIVN’s share price has tanked since the firm staged a hot initial public offering last November.
Rivian went public on Nov. 10 at $78 a share – valuing the firm at some $66.5M – and shot up to as high as $179.47 intraday just a few sessions later.
However, the stock has run out of juice since then, closing Friday at $28.79 – down 6.3% for the session and 84% from its Nov. 16 post-IPO peak. Friday’s finish represented RIVN’s lowest close since the firm went public.
Meanwhile, CNBC cited unnamed sources as saying that another unnamed investor has hired JPMorgan Chase to sell 13M to 15M of that party’s RIVN shares once the lockup period ends.
The network said both sales will likely carry a $26.90-a-share asking price, or 6.6% below where Rivian (RIVN) closed on Friday.
Seeking Alpha contributor On the Pulse currently rates RIVN as a “Hold.” Here’s why.
