Ford is selling some of its Rivian shares, report says

Ford owns about 12% of the EV producer, or just under 102 million shares after taking a stake prior to Rivian going public last year

Shares in Rivian Automotive Inc. fell nearly 10 percent in premarket trading after a media report that Ford Motor Co. is selling 8 million of its shares in the EV producer at a discount.

Ford’s sale is being handled by Goldman Sachs Group Inc., CNBC’s David Faber said in a tweet.

The U.S. manufacturer owns about 12 percent of the EV startup, or just under 102 million shares after taking a stake prior to Rivian going public last year. An insider lockup period expired Sunday after the November share sale that saw the company’s market value briefly top $100 billion making it more valuable at the time than Ford and General Motors.

Rivian shares have since plunged after its pickup launch was slower than investors expected.

JPMorgan Chase & Co. is also selling a block of 13 million to 15 million shares in the manufacturer for an unknown seller, Faber reported, citing unidentified people. Both blocks are priced at $26.90 — a discount of 6.7 percent to Friday’s close.

Irvine, Calif.-based Rivian is a high-profile, well-funded newcomer to the growing pack of EV manufacturers. The IPO was the sixth biggest in U.S. history, generating more than $13 billion to fund growth. However, Rivian has struggled to ramp production of its products at an existing plant in Normal, Illinois, due to supply-chain pressures.

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