Rivian Automotive gets cash boost

A boost in funding last week is assisting electric-vehicle start-up Rivian Automotive move forward with development of a full-electric five-passenger pickup and a seven-passenger SUV that it intends to develop in Regular, Ill.The Detroit venture has not exposed details of its planned product line, nor said publicly how it intends to go to market or whether it will create a franchised dealer network.But Rivian CEO RJ Scaringe told Automotive News recently that he will reveal automobiles in November at the Los Angeles Automobile Program. Scaringe, in an e-mail, offered no specifics for a release date, other than stating 2020." Rivian has actually constructed a strong structure around a world-class group, separated innovation and important facilities, "Scaringe, 35, wrote in the email. "Rivian has a strong backing from its shareholders to support our long-term development strategies."Recently, the venture stated it has actually received$200 million in debt financing from Requirement Chartered Bank, of London. A Rivian declaration stated the loan brings its funding to$450 million, including funds from other investors such as the financial investment arm of Saudi company Abdul Latif Jameel and Sumitomo Corp. of Americas. Scaringe: 2020 release target Rivian, founded in 2009, at first proposed bringing lorries to market in 2013. The company plans to utilize the former Mitsubishi Motors Corp. assembly plant in Typical to make electric and self-driving vehicles beginning in 2020. Getting the plant back into production after its 2016 closure is important to Scaringe's venture. Rivian got the plant from an industrial liquidation firm last year

for$2 million.Scaringe stated the plant is practical and the financing Rivian has actually received will be enough to make the needed changes.Rivian uses 50 individuals in Normal and 300 in Michigan and California.The company will receive $49.2 million in tax credits over 15 years from Illinois if the venture meets targets for relaunching the plant, including financial investment goals and having 1,000 workers by 2024. Reports about Rivian's product strategies have actually lacked details.The first item, an electric pickup,

is anticipated to have a 400-mile range on a complete charge, provide some self-driving capabilities and cost $50,000 or more.Rivian's leadership includes industry veterans. Design chief Jeff Hammoud is a previous design head for Jeep and FCA automobile interiors. Engineering boss Mark Vinnels is a former executive with McLaren and Group Lotus.Jacquelyn Reineke, spokesperson for the Illinois Department of Commerce and Economic Opportunity, told Automotive News the work prospects described in a contract with Rivian stimulated the state's investment. "Getting a business down there that could take advantage of the work force pool that was already there, and get them back into good-paying jobs and good professions, was a substantial plus for us,

"Reineke said.Amy Babcock, spokesperson for Sumitomo Corp. of Americas, informed Automotive News last week that Sumitomo thinks Rivian's calls for advancement in electrical, autonomous and shared personal transportation are promising.

"In the short-term, we see SCOA's financial investment and network assisting Rivian in boosting its current platform and helping to establish crucial partner and supplier relationships," Babcock said.

"In the long term, we see excellent possible for collaboration between our new car tech financial investments like Rivian, and the existing service networks and companies of our current portfolio."