Arrival May Struggle To Stay Afloat


  • Arrival has reorganized its business in a shift to cut costs and start production as its liquidity dries up.
  • Arrival announced $513M in cash plus a $300M ATM equity program in August, but by the end of Q3, Arrival backed away from the ATM and reported $330M in cash.
  • The startup has also paused its car and bus projects to favor van production, but it has already missed some start-of-production deadlines.
  • Arrival’s convertible note trades in distress at just under 31, and combined with the liquidity profile and UPS’ option to walk away, the company may struggle to stay afloat.

Aerial view of the city traffics at the center. Vehicles are moving on the road between buildings.

ipanacea/iStock via Getty Images

Arrival (NASDAQ:ARVL) is a far cry from the original production, vehicle, and revenue targets that it outlined for investors to garner a $13 billion valuation on its first trading day after originally being

Arrival revenue and delivery targets FY22 to FY25


Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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