Volvo Cars, the largest shareholder in premium electric vehicle company Polestar, says Polestar is to seek a listing on the Nasdaq stock exchange in New York (NYSE), via a business combination with Gores Guggenheim, Inc, a special purpose acquisition company. The transaction implies an enterprise value of approximately U.S. $20 billion for the combined company.
Launched in 2017 (yes, just a mere four years ago and now apparently worth up to $20 billion), Polestar’s putative value reflects the growth potential in electric vehicles. As part of the move Volvo is set to make additional equity investments in Polestar by up to U.S. $600 million, giving it close to 50 per cent of the combined company.
Thomas Ingenlath, Polestar CEO, says: “This is a really exciting time for Polestar. With two award-winning cars on the road today in 14 active markets across three continents, we seek to expand to 30 markets by 2023. We are thrilled about the targeted addition of three new premium electric cars to our line-up by 2024, starting with our first SUV expected in 2022.”
It is being reported that an ‘affordable’ SUV Coupe, named Polestar 4, will be a key factor in capturing the wider market. It is scheduled for release between the Polestar 3 SUV in 2022 and the 5 in 2024, by which time Polestar expects to be in 30 markets.