American electric vehicle automaker and automotive technology company Rivian Automotive has reportedly chosen underwriters for an IPO that could take place later this year.
According to the sources, Rivian is working with Goldman Sachs Group, JPMorgan Chase & Co., and Morgan Stanley as advisers. The EV firm could seek a value of about $70 billion when it goes public, the sources added.
It could seek a valuation of about $50 billion, as per the previous media reports. No final decision has been taken, and the details of a potential listing could alter, the sources added. Representatives for JPMorgan Chase and Morgan Stanley as well as Goldman Sachs have not offered any comment regarding the matter.
“Rivian was worth $27.6 billion when it announced in January that it had raised $2.65 billion from backers including T. Rowe Price Group Inc., Fidelity Investments, and Amazon,” according to the reports.
Rivian is one of several electric-vehicle startups attempting to compete with Tesla by bringing new vehicles to market. Further, Rivian plans to produce tens of thousands of automobiles in its Illinois plant over the next year, despite the possibility of going public.
Recently, Rivian said that delivery of its first car, the R1T battery-electric truck, would be delayed from June to July, without explaining why.
According to persons familiar with the situation, the company has suffered delays in acquiring parts from suppliers due to backlogs at U.S. ports that are hurting the whole car sector. According to the sources, the later date also allows the corporation more time to iron out technicalities and logistics for its initial customer delivery.