Electric truck maker Raven on Wednesday boosted its IPO trading debut by 46%.
Raven is now valued at over $ 100 billion, a sign of strong demand from investors for EV companies.
Raven stock touched a high of 3 113.90 per share, which is more than its IPO price of $ 78 per share.
Raven’s stock rose as much as 46% in the first launch of its IPO on Wednesday, giving the electric truck maker a market valuation of over $ 110 billion on a completely weak basis. This makes it more valuable than its peers Ford and General Motors.
The firm set its IPO price on Tuesday evening at $ 78 per share, its expected range from $ 72 to $ 74, which had already been raised from $ 57 to $ 62. The company is valued at approximately ً 77 billion in Raven’s IPO prices on a completely weak basis.
Rivian raised $ 11.9 billion by selling 153 million shares from its IPO, making it the sixth largest trading start on the US exchange. Shares traded on the Nasdaq under the ticker symbol “RIVN”.
Raven now has a lot to prove, with Ford’s $ 80 billion market cap and General Motors’ over $ 86 billion worth. According to its SEC filing, the EV startup is on track for a loss of $ 1.28 billion on revenue of over $ 1 million in the third quarter.
The company, which was founded in 2009, plans to start supplying its luxury electric trucks in early 2022, although some may not receive their vehicles until 2023. R1T and R1S vehicles start at around ً 70,000, according to Raven’s website.
But Raven can rely on its early customer and investor, Amazon’s big business, which ordered 100,000 electric delivery vans in 2019. Amazon’s order is expected to be completed by 2030, with the e-commerce company expected to receive 10,000 electric delivery vans early next year. Amazon is Raven’s largest shareholder of the year, with a 22% stake valued at over 12 12 billion.