RIVN Stock Alert: Rivian Chief Commercial Officer Kjell Gruner resigns

Rivian (NASDAQ:RIVN) The stock is in focus after the electric vehicle manufacturer’s Chief Commercial Officer and President of Business Growth, Dr. Kjell Gruner, informed the company about his resignation on July 24 to pursue other opportunities. It is not clear what Gruner plans to do next.

Gruner’s resignation will take effect today, July 26, but Gruner will remain with Rivian until February 17, 2025 to support the transition.

This marks the end of Gruner’s short time at Rivian. He joined Rivian in September 2023 after previously working at Porsche Cars North America as its President and CEO.

Dagan Mishoulam, Vice President, Strategy & Go to Market, will assume many of Gruner’s responsibilities while also assuming the role of Senior VP, Commercial.

“Dr. Gruner’s resignation is not the result of any disagreement with the company regarding its business, policies or practices,” Rivian said.

RIVN shares: Rivian’s Chief Commercial Officer and President of Business Growth resign

What makes this announcement even more worrying is the fact that Rivian’s Chief Accounting Officer Jeffrey Baker also announced his resignation earlier this month, effective tomorrow, July 27.

Rivian added that its decision was not the result of a disagreement about the company’s finances, operations or business practices. Chief Financial Officer Claire McDonough has stepped in as interim CAO while Rivian searches for a successor.

Prior to the announcement, Baker reported significant insider selling, selling 31,425 shares on March 11 at an average price of $13.18 per share, leaving him with 52,415 shares.

In addition, a judge ruled earlier this week that Rivian must be brought to trial for poaching employees from Tesla (NASDAQ:TSL) and encouraged them to share trade secrets. Tesla filed the complaint in 2020, alleging that Rivian hired 178 Tesla employees, 70 of whom left Tesla directly to join Rivian. Rivian has denied the allegations.

Rivian is scheduled to report its second-quarter results after the market closes on August 6. Analysts expect revenue growth of 0.11% to $1.122 billion and a GAAP EPS loss of $1.40, compared to a loss of $1.27 a year ago.

At the time of writing, RIVN stock is only up 0.75%.

At the time of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com Publishing guidelines.

At the time of publication, the editor in charge did not hold any positions (either directly or indirectly) in the securities mentioned in this article.