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Ford Motor selling their 8 million stake in Rivian Automotive, a source familiar with the matter told CNBC. Ford currently owns 102 million shares of Rivian. Ford itself will sell their stake in Rivian through Goldman Sachs, the sources said. Ford Motor is selling 8 million of its Rivian Automotive shares as the insider lockup for the stock expires on Sunday. Ford declined to comment, when confirmed about the sale.

Earlier in its first-quarter financial report, Ford suffered a $3.1 billion loss, largely due to a decline in the value of its investment in Rivian.

Rivian’s share price has continued to decline since its IPO in November and has had a major impact on Ford’s profitability. At the start of the year, Rivian’s stock was around $102. However, it later fell to ~$50 on March 31, 2022.

Meanwhile, JPMorgan Chase also plans to sell Rivian’s shares of around 13 million shares and 15 million shares belonging to an unknown seller. The shares are priced at USD 26.90 per share.

Source: Ford is selling 8 million of its Rivian shares as the insider lockup for the stock expires on Sunday
 

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Ford suffered a $3.1 billion loss, largely due to a decline in the value of its investment in Rivian.
Seems odd that investments would viewed as part of a company's profitability until sold. Nothing to do with their business, money put in a speculative market. Amazon also reported losses over Rivian stock decline but Amazon business profits were up. I'd guess Fords's are up also due to Ford's success with EV transition. Ironically, Ford's success with F150EV negatively impacts Rivians though both could sell as many EV's as they can produce so not really a case of competition that drives down sales. Same effect with Tesla. It's leading sales role has more to do with total supply of EV's vs. demand, not model to model competition.

"Amazon on Thursday reported a rare quarterly loss of $3.84 billion, owing entirely to a $7.6 billion loss in value of its stock investment in Rivian Automotive. Same with Ford, which said it lost $5.5 billion on its Rivian holdings in the quarter, causing it to report an overall loss of $3.1 billion.

It was interesting to note that Musk could not put more of his own money into his Twitter fling because he had borrowed on close to 60% of his Tesla stock. Adding the money he is borrowing again against Tesla stock which the banks require a 5:1 dollar ratio and 3% interest. Tesla would have to fall 80% to force Musk to come up with cash to cover it. Tesla did fall 25% on details of the deal.

In turn forcing Twitter to take on more debt than is sustainable by any current business projection.

"“Categorically, there is no way the company can carry that debt,” Mr. Damodaran said, referring to Twitter.
 

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Not much it could go even higher
Too big to swallow on open market , should be already in the price
Guess you were wrong... definitely flooding the market with an additional 8M shares + 13-15M shares from silent investor.. plus the entire companies insiders off lockup... HUGE down day today. BUT.. great buying opportunity.
 

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Well I'm a buyer of the stock. I think that you need to disconnect the market from the product. I have spoke to a lot of people who are future profile buyers and they have no idea what Rivian is. This will change and I think that the 2 motor SUV is going to be a big seller for 4 key reasons, Its new, its electric, it has all wheel drive, and 7 seats. I live in an area where people are tired of the current crop of SUV's with 7 seats. All of the competition cost more than the Rivian. The buyer market has not spoken yet as they don't even know about it.
 

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Well I'm a buyer of the stock. I think that you need to disconnect the market from the product. I have spoke to a lot of people who are future profile buyers and they have no idea what Rivian is. This will change and I think that the 2 motor SUV is going to be a big seller for 4 key reasons, Its new, its electric, it has all wheel drive, and 7 seats. I live in an area where people are tired of the current crop of SUV's with 7 seats. All of the competition cost more than the Rivian. The buyer market has not spoken yet as they don't even know about it.
Agreed. Every time I see a Land Rover I think... that guy will be selling for a Rivian soon.

People who want something unique.

There's so much up-side right now. I'm honestly surprised to see Ford selling at this low rate, they're going to regret it once the stock bounces...
 

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For any of us who bought in the DSP it's a perfect time to start diluting. It really doesn't take much to water the original investment down quite a bit. Tesla taught me to play the long game (I got it at 70 bucks).
 

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Agreed. Every time I see a Land Rover I think... that guy will be selling for a Rivian soon.

People who want something unique.

There's so much up-side right now. I'm honestly surprised to see Ford selling at this low rate, they're going to regret it once the stock bounces...
I doubt they will bea ble to take delivery before the Land Rover breaks again.
 
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