Rivian (RIVN, Financial), the American electric vehicle manufacturer, saw its stock surge by more than 11.7% in pre-market trading, reaching $11.82. This increase follows the announcement of partnership details with Volkswagen, involving a joint investment of $5.8 billion, which is higher than the initially reported $5 billion in June. The reasons for the increased investment were not disclosed by either party.
Rivian confirmed that the first installment of $1 billion from Volkswagen has been received. The company is optimistic about starting production of its R2 SUV by 2026. Additionally, Volkswagen plans to launch its first electric vehicle utilizing Rivian's technology by 2027.
