https://tokenist.com/rivian-down-9-as-ev-maker-announces-1-5b-convertible-bond-sale/
Rivian, an electric vehicle startup, witnessed a 9% drop in its share value during premarket trading on Thursday, following its announcement to sell convertible green bonds worth $1.5 billion. This nearly negated the 9.2% surge the company experienced on Wednesday, propelled by a robust quarterly vehicle delivery report. The bond sale decision was not well-received by investors since convertible bonds can dilute share value upon conversion. These bonds are scheduled to mature in October 2030, offering investors an option to convert them into either cash or company shares. In contrast to the bond sale setback, Rivian has showcased impressive performance in recent months. Its Q2 and Q3 2023 vehicle delivery numbers exceeded Wall Street predictions, with the company affirming its aim to produce 52,000 vehicles by the end of 2023. The broader EV market has also seen growth, with Tesla facing increasing competition from Chinese manufacturer, BYD.
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