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Rivian shares tumble below IPO price -Breaking

by Mike Robinson

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© Reuters. FILE PHOTO: A Rivian R1T pickup, the Amazon-backed electric vehicle (EV) maker, is driven outside the Nasdaq Market site during the company’s IPO in Times Square in New York City, U.S., November 10, 2021. REUTERS/Brendan McDermid

(Reuters) – Rivian Automotive Inc shares fell below $78, their IPO price on Thursday. This was in addition to a wider selloff of electric vehicle stocks.

Rivian shares fell 16.5% to $75.13 during premarket hours.

This drop comes a day following a deal signed by Amazon.com Inc (NASDAQ) with Fiat and Alfa Romeo carmaker Stellantis NV.

Stellantis announced that Amazon.com would partner with Stellantis to design and build cars and trucks with the software company and also deploy electric delivery vans from the Italian carmaker.

Deutsche Bank (DE:), analyst Emmanuel Rosner stated that the decline in Rivian shares suggests investors may have assumed Amazon would rely primarily on Rivian vans to power its EV fleet, and felt the recent announcement was reducing their opportunity.

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