By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
The Auto Magazine
  • Home
  • Auto Shows
    Auto ShowsShow More
    BMW and Alvaro Barrington celebrate hydrogen mobility at Art Basel in Basel 2025
    June 18, 2025
    MHB DEALER EXPO 2025 – A Premier Automotive Networking Experience
    June 17, 2025
    Entries Open for The Cape 1000 – South Africa’s Most Beautiful Drive Returns for 2026
    June 10, 2025
    Ulterio Motiv Toyota Land Cruiser 6×6 and 6×4 to invade Land Cruiser Festival
    June 3, 2025
    Maserati enthrals at FuoriConcorso with GT2 Stradale and MCXtrema
    May 14, 2025
  • Bikes
    BikesShow More
    Desmo450 MX: Production of the first Ducati Motocross bike begins
    May 28, 2025
    25YM Honda NC750X
    May 13, 2025
    BMW Motorrad presents the new BMW R 1300 RS
    May 2, 2025
    BMW Motorrad presents the new BMW R 1300 RT
    April 30, 2025
    Honda NC750X Named Winner in 2025 Red Dot Design Award
    April 10, 2025
  • News
    NewsShow More
    Kia EV3 wins Car of the Year at 2025 Autotrader Awards
    June 23, 2025
    Porsche 963 cars raise 600,000 euros in Le Mans towards Racing for Charity
    June 20, 2025
    50 Years of BMW Art Cars and the BMW 3 Series at the BMW Museum
    June 20, 2025
    Ford Performance Returns to Pikes Peak with Electric Super Mustang Mach-E Demonstrator
    June 20, 2025
    Winners of ISUZU AI Innovation Challenge 2024 announced
    June 18, 2025
  • Concepts
    ConceptsShow More
    TOYOTA GAZOO Racing unveils liquid hydrogen-fueled “GR LH2 Racing Concept” at Le Mans
    June 11, 2025
    FIAT unveils the manifesto Grande Panda 4×4
    May 20, 2025
    Renault 4 Savane 4×4 Concept makes its global debut at Roland-Garros 2025
    May 16, 2025
    Hyundai Motor and Plus Unveil Concept for Autonomous Hydrogen Freight Ecosystem at ACT Expo 202
    May 2, 2025
    Hyundai Motor Unveils the new IONIQ 6 and IONIQ 6 N Line
    April 5, 2025
  • Interviews
    InterviewsShow More
    24-hour race at Le Mans, the Nürburgring and Spa – triple marathon for Mercedes-AMG Motorsport
    June 10, 2025
    Kosmas “Dudie” Mamaloukos – The Formidable Racing Talent
    May 15, 2025
    Hi-Range Safari City
    Hi-Range Safari City – The Premier outfitter for 4×4 customization
    May 15, 2025
    BEHIND THE SCENES: ARCHIE RUTHERFORD ON WHAT IT TAKES TO BRING THE W2RC TO SOUTH AFRICA
    May 9, 2025
    Europe and China’s automotive future in a shifting global order
    May 5, 2025
  • EVs
    EVsShow More
    Polestar 3 OTA update introduces new Abbey Road Studios Mode exclusively for Bowers & Wilkins audio system
    June 18, 2025
    No Compromise Ford Ranger PHEV Brings Electric Power to Europe’s Best-Selling Pickup
    June 18, 2025
    Scania launches MCS rapid charging solution at EVS38
    June 18, 2025
    Ford Begins Capri and Explorer Battery Pack Assembly in Cologne
    June 17, 2025
    Special Envoy Launches XPress – SA’s First Full EV Courier Fleet
    June 11, 2025
  • Motosport
    MotosportShow More
    BMW M4 GT3 EVO celebrates its first win of the season at the Six Hours of the Glen
    June 23, 2025
    24h Nürburgring: Mercedes-AMG without racing luck at the Eifel classic
    June 23, 2025
    Commanding performance by Škoda at Rally Poland
    June 20, 2025
    Nissan Formula E Team ready for Jakarta return as Season 11 enters closing stages
    June 20, 2025
    Martin Prokop Becomes First Privateer for Ford Raptor T1+
    June 18, 2025
  • Trucks & Buses
    Trucks & BusesShow More
    Scania launches MCS rapid charging solution at EVS38
    June 18, 2025
    Daimler Truck and Volvo Group launch Coretura
    June 17, 2025
    Volvo Trucks launches upgraded Volvo Dynamic Steering system to increase road safety
    June 17, 2025
    MAN starts series production of electric trucks
    June 17, 2025
    UD Trucks Southern Africa celebrates dealers breaking barriers at 2025 awards ceremony
    June 11, 2025
  • Reviews
    ReviewsShow More
    Introducing the Land Cruiser Hybrid 48V: a new powertrain for Toyota’s legendary SUV
    June 23, 2025
    THE NEW HAVAL H6 SUV IS HERE, AND IT’S BUILT FOR BIG MOMENTS!
    June 18, 2025
    THE NEW PEUGEOT E-208 GTi MORE PLEASURE. MORE GTi THAN EVER!
    June 17, 2025
    New BMW XM options: maximum exclusivity and breathtaking performance.
    June 12, 2025
    The Audi Q5 e-hybrid: all-rounder with great electric range
    June 11, 2025
  • Tech
    TechShow More
    New Kia App provides European drivers with a unified digital experience
    June 17, 2025
    Abbey Road Studios Mode makes global debut in Volvo EX90
    June 17, 2025
    Audi develops the picking process of the future
    June 2, 2025
    Volvo EX90 LiDAR and smartphone cameras: What you need to know
    June 2, 2025
    VNC Automotive Partners with P3 to Enhance the SPARQ OS Platform
    May 29, 2025
Hot News
Introducing the Land Cruiser Hybrid 48V: a new powertrain for Toyota’s legendary SUV
BMW M4 GT3 EVO celebrates its first win of the season at the Six Hours of the Glen
24h Nürburgring: Mercedes-AMG without racing luck at the Eifel classic
Kia EV3 wins Car of the Year at 2025 Autotrader Awards
Commanding performance by Škoda at Rally Poland
Motosport

Porsche aims to add to its unparalleled track record at Le Mans

Latest NewsTechnology

Audi integrates YouTube into various models

Trucks & Buses

Mercedes-Benz Trucks celebrates world premiere of the battery electric long-haul truck eActros 600

Rethinking the way we perceive, design and use electric LCVs with Renault Trafic, Goelette and Estafette

Font ResizerAa
The Auto MagazineThe Auto Magazine
  • Home
  • Auto Shows
  • Bikes
  • News
  • Concepts
  • Interviews
  • EVs
  • Motosport
  • Trucks & Buses
  • Reviews
  • Tech
Search
  • Home
  • Auto Shows
  • Bikes
  • News
  • Concepts
  • Interviews
  • EVs
  • Motosport
  • Trucks & Buses
  • Reviews
  • Tech
Follow US
Crafted by Intellegere Media. © 2024 The Auto Magazine. All rights reserved.
Latest News

Polestar secures USD 1 billion external funding

Itumeleng Garebatshabe
Last updated: February 29, 2024 08:37
By Itumeleng Garebatshabe
612 Views
5 Min Read
Share
5 Min Read
SHARE
  • USD 950 million external funding secured
  • Geely Sweden Holdings intends to participate in future financing activities when required
  • Richer product mix: global roll-out of two new SUVs to drive significant volume and profit margin progression expected in second half of the year
  • Efficiency program delivers results

Polestar Automotive Holding UK PLC, the Swedish electric performance car brand, announces that it has secured USD 950 million in external funding. The company is making strong progress on its strengthened business plan and achieving its 2025 targets.

The financing is being provided by 12 leading international banks including BNP Paribas, Natixis, Standard Chartered, BBVA, HSBC and SPDB, in the form of a three-year loan facility. It provides Polestar with the funds it requires to finance the next stage of its development and covers a large majority of its estimated financing needs. Cash on the balance sheet as at 31 December 2023 was approximately USD 770 million.

- Advertisement -
Ad image

Thomas Ingenlath, Polestar CEO, says: “Securing funding from a syndicate of global banks reflects our partners’ support for Polestar’s growth course. Together with Geely’s full financial support and access to innovative technology and engineering expertise, we have reinforced our path towards cash flow break-even targeted in 2025.”

Daniel Li, Geely Holding Group CEO and Polestar Board Member, says: “As a strategic partner and direct shareholder in Polestar, Geely will continue to provide full operational and financial support to the iconic performance car brand going forward.  We will retain our shares in Polestar and intend to participate in future financing activities when required. Polestar will have full access to technologies and engineering expertise from Geely Holding to realise its global growth targets.”

Delivering on our strengthened business plan

The financing that has now been agreed will be accompanied by a comprehensive efficiency program from Polestar. Among other measures, 10 percent of jobs have been cut since mid-2023, with a further 15 percent to follow this year.

Polestar has thus made significant progress on its strengthened business plan and 2025 targets: achieving cash flow break-even, annual volume of over 155,000 and a gross margin in the high teens.

At the same time, Polestar was able to expand its model range with two high-margin SUVs. The Polestar 4 sales are accelerating around the world, Polestar 3 has now started production in China and has also successfully completed test production runs in South Carolina, USA. Prototype production of Polestar 5, a progressive performance GT, will also accelerate in 2024.

Finally, in addition to the secured USD 950 million in external funding, the recently announced new shareholder structure in Polestar provides a solid basis for the brand’s further business development. Under the new structure, Geely Sweden Holdings will become the second largest shareholder and Volvo Cars intends to retain an 18% stake.

“This marks a new phase in Polestar’s business,” says Thomas Ingenlath. “The efforts of recent years are paying off: We improved our cost basis, secured financing and are ramping up our product offensive. Both SUVs now sharpen the brand, target one of the fastest growing segments in the industry and position us for strong volume growth and profit margin progression from the second half of 2024,” he adds.

Outlook

At the end of this year, Polestar expects volume growth that supports the 2025 volume target and a double-digit gross profit margin. Volume and margin progression are expected to be weighted towards the second half of 2024, as the two SUVs reach full production and global distribution.

Publication of full-year 2023 results and conference call

Polestar is adjusting the release date for the preliminary unaudited financial and operational results for the full year 2023 to a later date. This will allow the Company time to complete the first year of compliance required by the Sarbanes-Oxley Act of 2002.

TAGGED:BBVABNP ParibasfundingHSBC and SPDBNatixisPolestar Automotive Holding UK PLCStandard Chartered

Sign Up For Daily Newsletter

Stay Updated! Get the latest breaking news delivered straight to your inbox.

By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
Share This Article
Facebook Whatsapp Whatsapp LinkedIn VKontakte Telegram Email Copy Link Print
Share
ByItumeleng Garebatshabe
Editor
Follow:
Itumeleng is the Managing Editor of The Auto Magazine. He is a tech and car enthusiast

Follow US

FacebookLike
XFollow
InstagramFollow
YoutubeSubscribe
TiktokFollow
TelegramFollow
Google NewsFollow
LinkedInFollow
- Advertisement -
Ad imageAd image

You Might Also Like

Latest News

Polestar presents strengthened business plan and funding update

By Itumeleng Garebatshabe
November 10, 2023

The Auto Magazine

  • Advertise
  • About Us
  • Contact
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
  • Bikes
  • Electric Vehicles
  • Trucks & Buses
  • Auto Shows
  • Latest News
  • Motosport

Made by Intellegere Media. All rights reserved. 2023

Don't not sell my personal information
Join Us!
Subscribe to our newsletter and never miss our latest news, podcasts etc.

Zero spam, Unsubscribe at any time.
adbanner