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Rivian founder RJ Scaringe snaps up $1M worth of EV maker’s stock – TechCrunch

Rivian founder and CEO RJ Scaringe bought 41,000 shares of the company’s stock valued at approximately $1 million, a securities filing posted Monday afternoon shows.

Scaringe now holds 169,175 direct shares worth $4,205,690 based on Monday’s closing price. He also holds 4.3 million indirect shares through a trust and 4,595 indirect shares through an LLC.

The purchase comes as Rivian shares hit a new low on Monday, following a legal battle with a seat supplier that is jeopardizing its Amazon electric van program and Ford’s disclosure that it has sold an additional 7 million of its stakes in the company , has been reported.

A Rivian spokesman declined to comment on why Scaringe is buying the stock now.

Rivian debuted as a public company in November with an opening price of $106.75, a price that made it one of the largest IPOs in US history and put its market cap ahead of GM and Ford. (At the time, GM’s market cap was $86.31 billion; Ford’s was $78.2 billion.)

A week later, the company’s share price reached as high as $179.47. But a combination of general market volatility and material disclosures from Rivian have caused its stock price to fall more than 75% since the public market opened.

Ford, which owned a 12% stake, or about 102 million shares, in Rivian sold 8 million shares of the company earlier this month. This initial sale prompted Rivian shares are set to fall more than 17%. On May 13, Ford sold another 7 million shareswhich pushes its total share below 10%.

This “below 10%” threshold means that Ford no longer has to file a Form D with the US Securities and Exchange Commission. Under SEC rules, “insiders” are that Own 10% or more shares must file most of their transactions in the company’s stock with the SEC on Form 3, 4 or 5 within two business days.

As the beneficial owner, Ford must continue to file a Schedule 13D report, which is required within 10 days of the transaction, until its interest falls below 5%.

Rivian founder RJ Scaringe snaps up $1M worth of EV maker’s stock – TechCrunch Source link Rivian founder RJ Scaringe snaps up $1M worth of EV maker’s stock – TechCrunch

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