Now THAT’S a car IPO! Rivian IPO is priced at $21.50

According to a filing with the SEC, the Rivian planned to use a portion of the $200 million in net proceeds to make a $150 million pension contribution to the firm’s defined benefit plan. The remaining amount would be put to work paying down the rest of the company’s outstanding corporate debt.

Under the IPO, here’s how it works:

New shareholders buy shares in the IPO for $21 per share, in the amount that have been privately-held for the last year, at a 37% discount from the price the company agreed to pay to acquire privately-held French electric car maker Cielo a year ago.

As part of the private equity private equity companies, in which the Rivian’s founders placed their significant stakes, the shareholders took a major loss on the IPO.

The existing owners to receive about $400 million in cash after the sale – about 30% of the IPOs proceeds.

Privately-held Rivian has 14 million unaudited 2016 global sales as of March 30.

CEOs Bill Ruh and Stephen Cannon had planed to finance their startup electric carmaker Rivian through an initial public offering.

They turned to a private equity firm, Vista Equity Partners, a $17 billion fund controlled by TPG Capital to help finance their plan to build a range of electric vehicles.

New automaker will start trading today.

“This is a terrific outcome for our investors,” Ruh said in a statement.

Rivian is building a plug-in hybrid electric vehicle, which will be sold through a network of showrooms, “The Store” that will be powered by electric technology at the Rivian Showroom.

Last month, the Rivian reported on sales for the first half of the year.

The three-phase vehicle, the R1T, which includes “Range Assist” where a vehicle starts and stops while driving for mileage optimization will be available in late 2020.

According to the Rivian this new vehicle will be built in Indiana for $4.9 million.

The original R1T will start at a cost of $66,000, according to a statement.

Rivian intends to construct its Center of Excellence in Livonia, Michigan.

The Rivian showed off a concept at the North American International Auto Show in Detroit last January where they provided concept design renderings for the cars their working on.

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