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Why go public with no revenue whatsoever? Unable to raise money privately?
by purple_ferret 5y ago
Why go public with no revenue whatsoever? Unable to raise money privately?
- nixgeek 5y agoFrom the S-1 they have a fair amount of cash on hand and substantial borrowing facilities which are currently unused. They’re clearly able to raise funds privately.
- fierro 5y agoneed to pass the bag to someone else. Not buying into another cult of personality. >We are highly dependent on the services and reputation of Robert J. Scaringe, our Founder and Chief Executive Officer.
- maytc 5y agoAnd Rivian is paying Scaringe for his services at 1.3MM a year. Crazy for a company with no reported revenue
- thrill 5y agoGoing public is as much about timing as it is about capital. There's also lots of investment opportunities that open up with funds and pensions that are limited to only investing in publicly traded companies.
- postingawayonhn 5y agoThey've already raised $10.5b privately. The private valuation is now up to something like $50b so the next logical step is an IPO where they will raise $5b+.
- jonstewart 5y agoNot sure whether it’s applicable to Rivian, but the SEC has requirements about going public once a company has a certain number of investors. Rivian’s starting to ship their trucks, and initial reviews seem very positive, so it could also be good timing for them.