Perhaps you’ve heard: Tesla is now worth in excess of $1 trillion, enough for Elon Musk to snidely offer to solve the world’s hunger problem. Perhaps you haven’t: S&P and Moody’s certainly don’t seem to have.
Well, Rivian Automotive—the electric-vehicle maker backed by Musk’s bitter rival on Earth and in space Jeff Bezos—certainly has heard, and it expects the market to take it into account when it goes public next week.
The Amazon.com Inc. -backed electric-vehicle startup plans to sell shares between $57 and $62 apiece, the company said in an updated regulatory filing on Monday. At the high end of the range, that would give Rivian a valuation of over $60 billion on a fully diluted basis…. A fundraising round in January valued the company at $27.6 billion, according to a person familiar with the matter, the increase since then highlighting investor enthusiasm for electric vehicles and new issues more broadly.
A $60 billion valuation would make Rivian more valuable than Honda Motor Co. (about $53 billion valuation) and in a league with Ford (about $71.6 billion).
Now all Rivian has to prove is that its shares can soar in spite of its CEO’s best efforts.
“I’d like to emphasize that no contract has been signed yet,” Mr. Musk said in a tweet late Monday, referring to Hertz’s announcement last week that the company was ordering 100,000 Teslas. “Tesla has far more demand than production, therefore we will only sell cars to Hertz for the same margin as to consumers. Hertz deal has zero effect on our economics,” Mr. Musk said.
Rivian Automotive Targets IPO Valuation Just Above $60 Billion [WSJ]
Hertz Says Tesla Is Delivering Cars to Fleet, Elon Musk Says There Is No Signed Deal [WSJ]
Tesla Joins an Exclusive Club [DealBook]
Musk offers to give $6B if UN can prove it can solve world hunger [Yahoo! Finance]
Tesla Has Won Over Equity Investors but Not Ratings Firms [WSJ]
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