Elain Brown Auto 06.01.2022 07:Jun AM EDT

Rimac Raises $500M From Porsche, Goldman Sachs, and SoftBank — Will This Boost the Supply of Electric Vehicles?

Rimac successfully raised $500 million in a recent round of funding conducted by SoftBank and Goldman Sachs.

Rimac is a Croatian automobile manufacturer. The company designs and manufactures electric sports cars, drivetrains, and battery system components. It is also famous for its electric Nevera sports automobile, which has 1,900 horsepower.

Rimac Raises $500M

Rimac recently raised $537.5 million from a variety of investors, including Goldman Sachs, Porsche, and Japan's SoftBank.

It is anticipated that the new funding will speed up Rimac's transition away from its roots as a small-scale maker of high-end electric sports cars. Through its partnership with Porsche, the company will keep producing the Nevera, which sells for about $2.4 million, as well as a number of new vehicles for the Bugatti brand.

However, it currently intends to focus the vast majority of its newly acquired capital on its Rimac Technology subsidiary. This subsidiary designs and manufactures components for high-performance electric and hybrid vehicles that are manufactured by other automakers.

As reported by BNN Bloomberg, on May 31, Rimac stated, "It's great to have Porsche on board, but also, you know, we don't want to be fully dependent on them."

Rimac Group is an umbrella company that has Bugatti Rimac and Rimac Technology under it. The Rimac Group holds about a 55% stake in Bugatti Rimac, and it owns 100% of Rimac Automobili, the group's hypercar division, under it. Another large stakeholder of Bugatti Rimac is Porsche, which owns 45%. While the Group fully owns the Rimac Technology.

In addition to upcoming automobiles that will bear the brand name, such as the $2.4 million Rimac Nevera electric hypercar, the company based in Croatia is in charge of the production of high-end supercars that cost multiple millions of dollars, such as the Bugatti Chiron and the Bugatti Bolide.

According to Mate Rimac, the Nevera will begin making its initial deliveries to customers within the next several weeks.

What's Next for Rimac?

Rimac Technology has already received previous enormous investments from big automotive companies such as Porsche and Hyundai. As reported by CNBC, the Croatian company now has a lineup of brands it has attracted as clients. Apart from Hyundai and Porsche, these include Jaguar, Ferrari, Renault, and Mercedes-Benz.

The company revealed that it is currently working on certain projects for Porsche, Aston Martin, and Koenigsegg.

According to Mate Rimac, the majority of the capital will actually be utilized for scaling up to meet the demand for batteries, powertrains, and other components to assist the automobile industry in making the transition to electric vehicles.

In addition, the company is also poised to produce tens of thousands of components on an annual basis. These components will be used in a wide variety of vehicles, ranging from hybrid and completely electric battery systems to full rolling chassis.

The company has stated that it intends to utilize the newly acquired funding to increase its workforce by 700 people, to launch a number of new offices around Europe, and to complete the construction of a new headquarters that is now under way in Croatia's capital.

The new headquarters will serve as the company's warehouse, manufacturing, laboratories, and office space areas. After its completion next year, it will become the largest building in the country.