Rivian Automotive (NASDAQ: RIVN) stock rose over 3% in early trading hours Monday following the appointment of a new Chief Operating Officer.
Rivian (RIVN) has announced the appointment of Javier Varela as its Chief Operations Officer, signaling a strategic move to enhance operational efficiencies as the company ramps up production, particularly of its midsized SUV, R2.
Varela joins Rivian from Volvo, where he served in various leadership roles over an eight-year stint, culminating in his position as deputy CEO and COO in 2022. His extensive experience and proven track record in the automotive industry position him well to drive operational excellence at Rivian.
Scheduled to join Rivian in August, Varela will succeed Frank Klein, who has been operations head since 2022. Klein will step down after playing a pivotal role in facilitating the ramp-up of production for Rivian’s R1 SUVs and pickups.
In a statement, Rivian underscored the significance of Varela’s appointment, emphasizing his pivotal role in driving the company’s growth and profitability. As COO, Varela will oversee key operational functions, including procurement, manufacturing, logistics, and quality assurance, aligning with Rivian’s strategic objectives and commitment to delivering high-quality electric vehicles to customers.
Moreover, Rivian revealed on Thursday that it has secured a substantial incentive package of $827 million from the State of Illinois. This funding will support the expansion of operations at its Normal facility, where the company aims to manufacture its more affordable midsize SUV, the R2 model.
Rivian (NASDAQ: RIVN) Stock Reaction
RIVN stock inclined 2.44% to close at $10.07 on Friday. Its value has risen by 11.39% this week. Trading activity has witnessed 47,151,952 (47.15 million) shares changing hands, higher than the average daily volume of 45.94 million.
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.
