How to invest in Polestar?
Stock information
- Market capitalization: $1059852000000
- P/E ratio: 205.9052
- PEG ratio: 3.3449
- Dividend yield: 0%
Is Polestar publicly traded?
Polestar will be a publicly traded company, and to celebrate, the company is teasing three new vehicles. by Josh Conturo, on September 30, 2021, 16:00.
Who is Polestar owned by?
Volvo Car Group acquired Polestar from Polestar Racing in 2015 and in 2017, Polestar became an independent brand focused on high-performance electrified cars. Polestar is jointly owned by Volvo Cars and Geely Holding Group with its own independent management and governance.
When does Polestar go public?
Polestar is expected to go public in via a SPAC deal with blank cheque company Gores Guggenheim in the first half of 2022. The agreement was announced on September 27, and the deal is expected to close once Gores Guggenheim’s stockholders have approved it.
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What we know about the Polestar IPO
How to buy shares in Polestar when it goes public
Polestar, a Sweden-based electric car manufacturer acquired by Volvo in 2015, has filed a business combination agreement with the US Securities and Exchange Commission (SEC) to go public by merging with Gores Guggenheim, Inc., a special purpose acquisitions company (SPAC).
Finder's picks for buying Polestar when it goes public
Once Polestar goes public, you'll need a brokerage account to invest. Consider opening a brokerage account today so you're ready as soon as the stock hits the market.
How do similar companies perform?
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GGPI Has New Terms For the Polestar Merger
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The Business Case for Polestar
In late December, Gores Guggenheim filed an updated Form F-4 with the SEC announcing revised transaction terms relating to the merger with Polestar. First, GGPI assigned a portion of its commitment to purchase $63M in ListCo Class A ADSs (American Depositary Shares) to other investors.
Partner Power
Based in Sweden, Polestar was originally spun out of Volvo Car Group in 2016 and is jointly owned by Chinese automaker Geely Holding Group (OTCPK: GELYF) (50.5%) and Volvo Car Group (49.5%). Geely acquired Volvo in 2010. Notably, Polestar CEO Thomas Ingenlath was previously Senior Vice President of Design at Volvo Cars.
Updated Cap Structure
By leveraging the operations of two well-established vehicle manufacturers, Polestar can scale cost-effectively and in line with demand. These relationships should also help alleviate the well-documented production and quality control issues experienced by Tesla and other EV startups during the early ramp-up stage.
Valuation and Trading Activity
At an implied valuation of $25B, Polestar would garner the highest valuation of any SPAC connected with the Gores Group. The company is expected to raise over $995M in cash through its IPO. Notably, the IPO of Rivian Automotive raised nearly $12 billion, the largest IPO in the U.S. since 2014.
Key Risks and Catalysts
The electrification of the auto industry is well underway. Accordingly, EV valuations reflect the pervasive investor sentiment that electric vehicles will carve out a larger piece of the $5 trillion automotive market. Notably though, the current market constraints for automakers have little to do with demand, and rather with supply.
Competition And Addressable Markets
Polestar’s strategy to leverage its relationships with Volvo and Geely provides several time-to-market advantages. Global automakers have pursued alliances to respond better to the cost of the transition to electric cars, tougher emission rules and new technologies like autonomous driving.
