Rivian Automotive, Inc. shares plunged more than 14% in early trading, marking its biggest drop since November 2024. The decline was primarily triggered by the company's announcement of an underwritten public offering of 75 million shares of its common stock. This equity offering is expected to increase the number of shares outstanding, resulting in dilution for existing shareholders.

The company plans to use the net proceeds for general corporate purposes, including funding equity contributions required under its amended loan arrangement with the U.S. Department of Energy.