Shares of Polestar Automotive Holding UK Plc (NASDAQ:PSNY) rose about 4.1% in premarket trading on Monday after the company disclosed a $400 million equity investment from two large financial institutions.
The Swedish EV maker said the capital will be provided by Feathertop Funding Limited, a special purpose vehicle consolidated to Sumitomo Mitsui Banking Corporation and Standard Chartered Bank (Hong Kong) Limited, with each institution committing $200 million. The transaction is expected to close by February 5, 2026, and does not require regulatory approval.
As part of the deal, both investors have agreed to put option arrangements with a subsidiary of Geely Sweden Holdings AB, giving them a potential exit after three years at defined returns. Polestar said the structure mirrors the equity financing terms it announced in December 2025.
The shares were priced at $19.34 per Class A ADS, the same level as the prior December financing. Once the transaction closes, neither investor will hold more than a 10% stake in Polestar, and there are no additional restrictions on selling the shares beyond standard securities regulations.
“Following the new equity financing and the funding announcements in December, and with the support of Geely Holding, we continue to make progress on enhancing our liquidity position and strengthening our balance sheet,” said Michael Lohscheller, Polestar CEO. “With a record year of retail sales behind us, we are fully focused on creating a stronger Polestar.”
BofA Securities served as Polestar’s exclusive financial advisor on the transaction.