Polestar Automotive Holding UK PLC, the Swedish electric performance car brand, has announced a potential change in its ownership structure. Geely Sweden Holding, a subsidiary of Geely Holding Group, is set to become a direct shareholder in Polestar. This move is part of a broader strategy that could see a redistribution of shares to Volvo Cars shareholders, with Geely Sweden Holding as the primary recipient.
Despite competitors resorting to discounts to drive sales, Polestar has been making strides in its electric model lineup, global sales and service network, and diversified manufacturing footprint. CEO Thomas Ingenlath expressed optimism about the future, stating that Polestar is in one of the most promising phases of its development.
However, amid these challenges, Bernstein analyst Daniel Roeska suggested that Polestar might be more beneficial to go private. The potential entry of Geely Sweden Holding as a new shareholder could potentially impact the company’s future direction.
Geely Holding Group has also been making significant moves in the electric vehicle (EV) market. Its EV arm, Zeekr, aims to double its car deliveries in 2024, indicating a strong push in the EV sector. This aligns with Polestar’s focus on electric performance cars, potentially signaling a strategic alignment between the two companies.
The potential change in ownership comes at a crucial time for Polestar as it navigates a challenging market. Despite these challenges, Ingenlath remained positive about the company’s sales outlook for 2024.
Overall, this development signifies an important shift in Polestar’s ownership structure and could pave the way for future growth and strategic partnerships in the EV market.
