"The Lord bless you and keep you; The Lord make His face shine upon you, And be gracious to you; The Lord lift up His countenance upon you, And give you peace."
Numbers 6: 24-26
MELI Paper-Hand Investors
RIVN Management Post-IPO - SP near $150
I'm not sure if I'll continue trying to sharpen my Meme skills, or lack thereof, but I just had to use an outlet based on some of today's activity. MercadoLibre, Inc. (MELI) is selling off in after-hours as they announced a secondary offering. My information is saying 1 million shares at around $1,550, equating to $1.5 billion or so in proceeds. Let's remember here that MercadoLibre has under 50 million shares and has had around 44 million or so over the past decade. The company needs to continue to grow to compete and this move is far cry from the selling action's response.
Rivian's management is likely very happy with their IPO $12 billion in proceeds raised. But with the SP up towards $150 now, if I were Rivian management, I'd say who cares about another 5% dilution on top of the IPO when they could walk away with around $24 billion in Cash in less than a week. To put this into perspective, both Ford and GM have stated to invest $25-30 billion over the next five years each. Regardless, Rivian has over 60% of this amount for each company respectively, already.
Hopefully readers will appreciate my Cornerstone Crumbs!