Posted 10/5/2023, 9:07:00 PM
Rivian Stock Plummets 23% as $1.5B Bond Issuance Raises Concerns Over Cash Burn Rate
- Rivian shares fell 23%, biggest drop since IPO in 2021, after announcing plans to issue $1.5B in convertible bonds
- Second green bond issuance in a year to fund R2 SUV production in Georgia
- Stock price now 77% below IPO price as investors worry about cash burn rate
- Company reiterated guidance to deliver ~52K vehicles in 2022, disappointing investors
- Rivian burned through $1B per quarter, still far from profitability despite ramping production
/cloudfront-us-east-2.images.arcpublishing.com/reuters/DDYMQGNBZRJLRG6PAAS6PQ4VXE.jpg)