Key Takeaways
- Rivian Automotive announced a micromobility company that it has been secretly working on for several years.
- The new firm, called Also Inc., will focus on making small, lightweight electric vehicles.
- Rivian will hold a minority stake in Also, which also got funding from the venture capital firm of Eclipse Ventures.
Rivian Automotive (RIVN) shares edged higher Wednesday as the electric vehicle (EV) maker announced it has been working for several years on a secret micromobility project that it’s now spinning off into a separate company.
Called Also Inc., the new firm is designed to focus on “small, lightweight vehicles that are designed to meet the global mobility transportation challenges of today and tomorrow.”
Rivian noted that it would retain a minority stake in Also “and expects opportunities for future collaboration, which may include selectively using some of Rivian’s retail footprint.” Company founder and CEO RJ Scaringe, who will be Also’s chairman, said that for the world to fully shift to electrified transportation, “a range of vehicle types and form factors will be needed.”
Rivian added that Also has received a $105 million investment from venture capital firm Eclipse Ventures.
Rivian Says Making ‘Significant Progress’ Toward R2 Midsize SUV Launch
Along with the news on Also, Rivian said it continued to make “significant progress” toward the launch of its R2 midsize SUV in the first half of next year.
Shares of Rivian Automotive are up about 17% over the past year.
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