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George Soros Invested in Rivian, Stock Has More Than Halved Since

Prolific businessman and investor George Soros invested in Rivian last year, but in the short term the decision doesn’t seem like it was wise. Still, there’s some upside.
George Soros invested in Rivian 7 photos
Photo: Rivian on Facebook
George Soros buys Rivian shares, Stock HalvesGeorge Soros buys Rivian shares, Stock HalvesGeorge Soros buys Rivian shares, Stock HalvesGeorge Soros buys Rivian shares, Stock HalvesGeorge Soros buys Rivian shares, Stock HalvesGeorge Soros buys Rivian shares, Stock Halves
California-based Rivian had a magnificent debut on the stock market, but not hitting those production numbers and Amazon ordering more trucks from Stellantis (and turning into the first big customer for the Ram Promaster electric van) has turned investors away. Moreover, Stellantis will use Amazon software in its vehicles. This puts Rivian in a tough spot. Even though Amazon has 20% of the Californian carmaker and has an order in place, Rivian remains a startup for now. Its cars barely got to see daylight, with testing beginning in some select U.S. areas.

Securities filings checked by Reuters show George Soros has bought almost 20 million shares of Rivian Automotive. This amounts to almost a $2 billion investment. The Soros Fund Management has now become one of the biggest investors in the company that Jeff Bezos trusted to become a real Tesla competitor. Who knows how the markets would have reacted if the Cybertruck had gotten the promised timely launch.

Prospect customers are also worried that a paid plan called Membership introduced by Rivian would unnecessarily raise the ownership cost. The company promised an exclusive “drive mode” just for those clients that choose to pay the subscription. The plan also includes unspecified complimentary charging, LTE connectivity, off-Roadside assistance, in-cabin content, and excursions.

Rivian made a little over 1,000 units last year and delivered 920 of them to customers, but the company must also fulfill its duty to Amazon. This means it is forced to make at least 100,000 vehicles. This might not happen this year, given the current health crisis, the truckers’ protests, and supply chain issues.

Maybe George Soros knows something we don’t, and we’ll look back at this move as one of the greatest in history. After all, Tesla has had a rough start too.
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Editor's note: Gallery shows pictures of Rivian R1T.

About the author: Florin Amariei
Florin Amariei profile photo

Car shows on TV and his father's Fiat Tempra may have been Florin's early influences, but nowadays he favors different things, like the power of an F-150 Raptor. He'll never be able to ignore the shape of a Ferrari though, especially a yellow one.
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