( 25News Now ) - Rivian is agreeing to pay $250 million to settle a class action lawsuit in which shareholders claim the company misled them about electric vehicle prices.

The company, which makes EVs in Normal, denies allegations in the suit and states in a news release that “this agreement to settle is not an admission of fault or wrongdoing. However, settling will enable Rivian to focus its resources on the launch of its mass market R2 vehicle in the first half of 2026.”

The lawsuit goes back to Rivian’s highly touted initial public offering in late 2021. The company made statements in documents, during an earnings call, and in a filing with federal regulators that were “materially false and misleading,” in violation of securities laws, according to court records.

The shareholders

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