Ford Motor Company sold eight million shares of electric-car maker Rivian Automotive Inc. for $214 million, or $26.80.
Ford Motor Co. sold eight million shares of electric-car maker Rivian Automotive Inc for $214 million, or $26.80, the US automaker said in a filing Tuesday.
Ford now owns about 94 million shares, or 10.5%, according to Refinitiv data, and is still the fourth-largest shareholder in the Irvine, Calif.-based company.
Rivian is struggling in a competitive market, including competition from Ford’s F-150 Lightning electric pickup truck, while a supply chain crisis is limiting production at its plants.
The electric-car maker had earlier slashed its planned 2022 production in half to 25,000 vehicles.
Ford’s May 9 selling price of $26.8 per share was lower than Rivian’s close of $28.79 on Friday.
Rivian shares are down nearly 21% since CNBC reported the sale over the weekend.
T.Rowe Price Associates is the largest shareholder in the electric car maker with an 18.2% stake, followed by Amazon.com Inc. with a 17.7% stake.
Amazon.com reported a 59% drop in its first-quarter operating income, largely hurt by its investment in the carmaker.
The US retail giant, which is one of Rivian’s major customers, expects to have 100,000 delivery vans by 2024.
The decline in the value of Ford’s stake in Rivian led to a net loss of $3.1 billion in its first quarter.
Rivian and Ford did not immediately respond to requests for comment.
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