Polestar Raises $300M in New Equity Funding to Boost Liquidity

Polestar has secured an additional $300 million in equity financing, further strengthening its balance sheet as the EV maker continues to scale operations and expand its vehicle lineup. The funding round brings Polestar’s total new equity raised since December 2025 to $1 billion, supported in part by existing backer Geely Holding.

The update was announced in a press release from Polestar, outlining the company’s efforts to improve liquidity and broaden its investor base.

Polestar raises $300 million to strengthen balance sheet

Polestar said the latest $300 million equity investment includes participation from financial institutions such as Crédit Agricole CIB, Vida Finance, Innovator Limited, and Proximastar Holdings.

The shares were priced at $19.34 per Class A ADS, consistent with previous funding rounds completed in December 2025 and February 2026.

As part of the transaction, investors entered into put option agreements with a Geely subsidiary, providing an exit mechanism after three years with defined returns. Polestar noted that none of the participating investors will hold more than 5% of the company’s equity following the transaction.

The funding round is expected to close by March 19, 2026, with no regulatory approvals required. Polestar stated that the capital raise improves its liquidity position and free float, while diversifying its shareholder base through participation from global financial institutions.

Funding supports growth plans and upcoming EV lineup

Polestar CEO Michael Lohscheller said the company has taken steps in recent months to strengthen its financial position as it prepares for future growth.

The company is coming off a record year of retail sales and plans to introduce four new models over the next three years.

Polestar’s current lineup includes the Polestar 2, Polestar 3, Polestar 4, and Polestar 5, with additional models already in development. Upcoming vehicles include a Polestar 2 successor expected in 2027, the Polestar 7 compact SUV planned for 2028, and the Polestar 6 roadster.

The company said the new funding will support its broader strategy, which includes expanding production across multiple regions and advancing its long-term sustainability goals.

Polestar aims to reduce greenhouse gas emissions per vehicle by 50% by 2030 and achieve climate neutrality across its value chain by 2040.

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