Companies Economy Markets

Rivian Stock Falls 18% As Company Sells 75 Million Shares To Raise Capital

Rivian shares tumbled 18% after the EV maker announced a 75 million share public offering to raise about $1.51 billion, alongside Q2 revenue guidance of $1.55–$1.65

Rivian Automotive stock charts and an Electric Vehicle during a test drive.
Rivian Automotive stock charts and an Electric Vehicle during a test drive.

Market impact

The share sale and expected revenue range highlight ongoing capital-raising activity and financing strategies in the EV sector amid development costs for autonomy and next‑gen tech

Why it matters: The deal reflects financing strategies and equity-raising activity by a major EV maker, with implications for liquidity, capital deployment, and investor sentiment in the markets.

Key numbers

  • 75 million shares
  • $1.51 billion
  • $20.14 per share
  • $1.55 billion to $1.65 billion
  • 11.25 million additional shares
  • $5.3 billion cash and equivalents in Q2

Watch next

  • Rivian capital raise
  • Q2 revenue guidance
  • DOE loan agreement
  • R2 SUV launch
  • underwriter option expiration
  • stock price movement
Automotive Technology Financials Rivian Automotive

Rivian Automotive plc said it would raise roughly $1. 51 billion through a public offering of 75 million shares of Class A common stock, based on Monday’s close of $20. 14 per share.

The move comes after Rivian pre-released second‑quarter results, in which the company projected revenue between $1. 55 billion and $1. 65 billion for the period.

Tuesday’s trading saw Rivian’s shares drop about 18%, marking the stock’s worst day since 2024 and the fifth worst day on record, as investors digested the capital raise and its timing alongside the company’s development plans. The offering was announced after extended hours trading, during which Rivian shares had risen about 8. 1% on Monday and climbed 19% the previous week.

Rivian said the proceeds would be used to fund equity contributions as part of a loan agreement with the U. S. Department of Energy.

In the filing, the company also said underwriters could purchase up to 11. 25 million additional shares within 30 days. The capital raise accompanies Rivian’s plan to suspend its 2027 profitability target amid expectations of higher research and development spending for autonomy and next‑generation vehicle technologies.

Separately, Rivian is pushing ahead with the launch of its new R2 midsize SUV, a product the company hopes will help bring profitability later in the decade.