Ford Motor Co F said on Tuesday it sold 8 million shares in electric vehicle startup Rivian Automotive Inc RIVN, estimated to be $214.4 million, at a discount.
What Happened: Ford still owns 93.9 million shares in the Irvine, California-based electric-car maker.
Ford sold the shares after the post-IPO lockup period for Rivian ended on Sunday. The legacy automaker had picked a stake in Rivian prior to its going public last year.
Besides Ford, Rivian is backed by e-commerce giant Amazon.com Inc AMZN.
JPMorgan Chase & Co JPM plans to sell between 13 million and 15 million shares in Rivian, CNBC reported on Sunday.
Why It Matters: Rivian’s market cap has slipped to $20.5 billion after touching $100 billion in November.
The high-profile EV startup had fallen short of its target of making 1,200 electric vehicles in 2021 and managed to produce just 1,015 vehicles and delivered 920.
Last month, Rivian said it was on track to make 25,000 electric vehicles this year. It is scheduled to report first-quarter earnings on Wednesday after the bell.
Price Action: Ford shares closed 0.15% lower at $13.35 on Tuesday, while Rivian’s closed flat at $22.8.
Photo courtesy: Rivian