Volkswagen wants to invest up to five billion dollars in the American electric car manufacturer Rivian in the coming years. Gets first VW: In a second round of $1 billion convertible bonds, the Wolfsburg-based company wants to form a joint venture with Rivian and invest an additional $4 billion.
The partnership will, among other things, accelerate software development, VW announced after the US stock market closed on Tuesday. After the establishment of the joint venture, Volkswagen will have immediate access to current information Electric car- Technology from Rivian for use in VW electric vehicles.
“Through our partnership, we will bring the best solutions to our cars faster and at a lower cost,” VW CEO Oliver Blume said in a statement. The proposed joint venture must be managed equally. The feasibility of the joint venture is still subject to certain conditions, it said.
Rivian shares rose more than a third in US trading
Volkswagen lowered its annual cash inflow (net cash flow) forecast in the vehicle construction business to 2.5-4.5 billion euros, as the deal could result in an outflow of up to 2 billion euros this year.
Rivian shares rose more than a third in US trading. Volkswagen has recently been having more and more trouble in its aggressive push towards electromobility. In Europe demand is weak in China Competition with low-cost domestic manufacturers is fierce. In the US, the group wants to gain a significant market share with electric vehicles and has already announced high investments for this purpose.
