Volvo Reveals Strategic Departure from Polestar

Eve Harrison

What’s Happening & Why This Matters

Volvo Cars has revealed plans to decrease its stake in Polestar, its separate electric car brand. The move will see Volvo’s shareholding in Polestar drop from 48 to 18 percent. To achieve this, Volvo Cars intends to distribute 62.7 percent of its current Polestar stake to existing Volvo Cars shareholders. Volvo values the stake at 9.5 billion Swedish krona (approximately $1.4 billion).

t/f Summary: What’s Next

Polestar continues to face challenges with production and financial performance.  As a result, Volvo’s influence on Polestar will be reduced, and Geely will take full responsibility for funding the struggling electric car brand. Despite this, Volvo and Polestar will continue collaboration as they are tied operationally.

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By Eve Harrison “TF Gadget Guru”
Eve Harrison is a staff writer for TechFyle's TF Sources. With a background in consumer technology and digital marketing, Eve brings a unique perspective that balances technical expertise with user experience. She holds a degree in Information Technology and has spent several years working in digital marketing roles, focusing on tech products and services. Her experience gives her insights into consumer trends and the practical usability of tech gadgets.
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