Rivian stock price soars after Volkswagen announces $5 billion investment in the EV maker

The deal stands to benefit both companies, although investors in the legacy German automaker appear to be less enthusiastic.

Shares of electric vehicle maker Rivian Automotive (ticker: RIVN) are soaring, with the stock up more than 40% in premarket trading as of the time of this writing. The reason for the stock surge? The company is getting a $1 billion investment from legacy automaker Volkswagen, with another $4 billion to come. Here’s what you need to know.