Ford Pares Stake In EV Maker Rivian After Reporting Significant Write-Down

Ford Motor Co F now holds only a 1.15% stake in Rivian Automotive, Inc RIVN. The automaker started paring stake in the EV maker since May 2022.
Ford reported a $7.3 billion write-down on its Rivian investment in 2022, TechCrunch reports. Since February 2022, Rivian’s stock has plummeted almost 70%.
Last April, Ford reported a $5.4 billion “mark-to-market loss” on its investment in Rivian. Ford sold 15 million shares the following month, bringing its stake in the EV maker below 10%.
Ford ditched its ambitions with Rivian in 2021 as it focused on building its lineup of EVs.
Ford ramped up its in-house electrification investment and shared plans to run its EV unit as a separate business from its combustion engine business.
Other companies, like Amazon.Com Inc AMZN, have reported losses from their investment in Rivian. Last week, Amazon reported a $2.3 billion valuation loss in its Rivian stock.
In January, Rivian reported below-par production and deliveries for the fourth quarter and 2022.
Rivian said it produced 24,337 vehicles for 2022, which missed its annual production target of 25,000 units. The 25,000-unit target the California-based electric vehicle set for itself was a sharp cutback the company announced in March to its original guidance of 50,000 units.
Price Action: RIVN shares are down by 2.23% at $18.97 premarket on the last check Friday.