4 ms·
It really wouldn't be the first time that a company shuts down a 'baby'. 20% of 20 billion for Amazon is literally pocket change.
by mym1990 5y ago
It really wouldn't be the first time that a company shuts down a 'baby'. 20% of 20 billion for Amazon is literally pocket change.
- louissm_it 5y agoThe 20% is (according to the IPO atleast) worth 20 billion dollars, not 20% of 20 billion dollars.
- dragontamer 5y agoRivian is right now worth $100+ Billion. 20% of which is $20 Billion, and is Amazon's stake.
- mym1990 5y agoI think 20 billion is still pocket change for a company with a 1.8T market cap. And if Amazon did want to divest, they would likely just sell instead of taking a full loss.
- dragontamer 5y agoMarket cap? No one uses market cap when talking about dollars in this manner. I'd argue shareholder equity is the more reasonable metric. Amazon has 320-Billion in assets and 100-billion in liabilities. That means a CEO looks at Amazon and sees the $320 Billion it can use for operations (which includes all of Amazon's properties, warehouses, equipment, etc. etc.), and the $100 Billion Amazon owes other companies (ie: liabilities). So $220 Billion total equity. That means that this Rivian stake is literally 10% of Amazon's equity. That's no small percent by any stretch of the imagination.