Morgan Stanley anticipates a positive reaction in Rivian Automotive (RIVN) shares after the company and partner Volkswagen (VWAGY) shared further details around their previously announced scalable next-gen zonal EV and software architecture joint venture. Rivian can receive up to $5.8B of financial proceeds, which is increased from $5B at the time of the initial JV announcement, due to higher potential investment and increased equity premium paid to Rivian, while mitigating incremental dilution, the analyst noted. The firm has an Equal Weight rating and $13 price target on Rivian shares, which are up $1.76, or nearly 17%, to $12.34 in Wednesday morning trading.
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