Ford cuts stake in Rivian for second time this year

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Ford cuts stake in Rivian for second time this year

Ford Motor has trimmed its stake in Rivian Automotive, for the second time in a row.

Ford sold 7 million shares for about $26.88 apiece, or $188.2 million, according to a regulatory filing on Friday.

Ford's shares are reduced to 86.9 million after the sale.

Ford sold about 8 million shares of Rivian worth $214 million on Tuesday.

Initial investors in Rivian's initial public offering were able to sell shares this week because of the IPO lockup period.

Rivian went public on November 10 at $78 a share. Shares went up as high as $179 a few days later.

In the first quarter, Ford reported a net loss of $3.1 billion, driven by a steep loss in the valuation of its Rivian stake.

Ford said it suffered a $5.4 billion mark-to-market loss on its investment.

Amazon reported its first quarterly loss since 2015, with a large part of it coming from the company's accounting for a $7.6 billion loss in value of its stock investment in Rivian.

The supply chain crisis has impacted production, which is why the company is dealing with a supply chain crisis.

The electric-car maker had slashed its production in half to 25,000 vehicles by the end of 2022.