Rivian Automotive Inc (NASDAQ:RIVN) has secured a conditional loan worth up to $6.6 billion from the US Department of Energy’s Advanced Technology Vehicle Manufacturing Loan Program to support the construction of its Georgia EV factory.
The company intends to build the Georgia facility in two stages, each adding 200,000 units of annual production capacity for a total of 400,000 units.
It said the DoE funding would support the production of its midsize platform, which underpins the R2, a midsize SUV, and the R3/R3X, a midsize crossover.
“This loan will help create thousands of new American jobs and further strengthen US leadership in EV manufacturing and technology,” Rivian CEO RJ Scaringe said in a statement.
“This loan would enable Rivian to more aggressively scale our US manufacturing footprint for our competitively priced R2 and R3 vehicles that emphasize both capability and affordability. A robust ecosystem of US companies developing and manufacturing EVs is critical for the US to maintain its long-term leadership in transportation.”
The funding includes $6 billion of principal and approximately $600 million of capitalized interest.
Shares of Rivian added almost 4% at $12 following the announcement.