- Wednesday, October 16, 2024
Rivian Automotive, an electric-vehicle maker based in Irvine, California, has successfully priced $1.5 billion in green convertible senior notes. The company announced that the notes will have an interest rate of 3.625% and will mature in 2030. Net proceeds are expected to be approximately $1.49 billion, and could reach up to $1.71 billion if initial buyers exercise certain purchase options.
At an initial conversion price of around $23.29 per share of common stock, this represents a premium of approximately 27.5% to Thursday's closing price of $18.27. The conversion rate for the notes will be set at 43.929 shares of common stock per $1,000 principal amount of notes.
The purpose of this offering is to provide funding for eligible projects focused on clean transportation, renewable energy, energy efficiency, and pollution prevention.
In addition to this successful financing round, Rivian also reported its preliminary estimates for the third quarter. The company foresees sales ranging between $1.29 billion and $1.33 billion, a significant increase from the $540 million recorded during the same period last year.
These developments highlight Rivian Automotive's commitment to sustainable and environmentally-friendly transportation solutions.
All Rights Reserved © 2024
Post a comment