Rivian closes $1B VW-backed loan for joint venture

Rivian drew down a $1 billion non-recourse term loan from Volkswagen Group, funded through a joint venture structure, with proceeds distributed to Rivian for general corporate purposes. The loan is secured only by Rivian SPV's 50% equity stake in the venture and carries no direct company guarantee, reducing financial leverage risk on the parent company's balance sheet.

Rivian received $1 billion in financing from Volkswagen through their joint venture, but the loan doesn't directly obligate Rivian itself—it's backed only by Rivian's stake in that venture. The company can use the cash for operations.