This offering includes 3.625% green convertible senior notes due 2030. The company is selling these senior notes to qualified institutional buyers. In addition to this, these investors have 13 days to acquire another $225,000,000 worth of these notes.
Rivian is expecting net proceeds from this senior notes offering to be roughly $1.48 billion. That number jumps to $1.71 billion if the buyers exercise their rights to acquire additional senior notes.
Rivian also already has plans for the funds it will gain from this note offering. The company is expecting to spend $93.8 million on the cost of the capped call transactions connected to the notes. It will then use the remaining funds for a variety of corporate purposes.
How This Notes Offering Affects RIVN Stock
Following the senior notes offering announcement, shares of RIVN stock are dropping 1.8% as of Friday morning. That comes as some 26.7 million shares of the company’s stock changed hands. To put that in perspective, the company’s daily average trading volume is still above that at 47.6 million shares.
There’s more than just RIVN stock news that investors will want to know about on Friday!
Fortunately, we have them covered with our deep dives into all of the hottest stock market happenings today. A few examples include reports of a massive deal for Pioneer Natural Resources (NYSE:PXD), how much Lucid Group (NASDAQ:LCID) loses on each car it makes, and the news dropping shares of Near Intelligence (NASDAQ:NIR) stock today. All of that information is ready to go at the links below!
More Stock Market News for Friday
- Pioneer Natural Resources (PXD) Stock Rises as Exxon Mobil Nears Takeover Deal
- LCID Stock: Lucid Motors Loses $338,000 Per Car
- Why Is Near Intelligence (NIR) Stock Down 20% Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.