Rivian's 75 million-share offering: Why Wall Street hit the sell button

Rivian shares fell sharply after the EV maker announced plans to raise about $1.5 billion through a public offering of 75 million new Class A shares, with underwriters having an option for an additional 11.25 million shares. Despite raising its Q2 revenue guidance to $1.55-1.65 billion, ahead of Wall Street expectations, investors reacted negatively due to concerns over share dilution. The company ended June with around $5.3 billion in cash and plans to use proceeds for its Georgia manufacturing facility and R2 vehicle development.