Polestar will receive a $400 million cash infusion from investors to help boost its liquidity, following a record sales year in 2025, the electric vehicle maker announced on Monday.
Two financial institutions make up the investors: Feathertop Funding Ltd., a special purpose vehicle created by the Sumimoto Mitsui Banking Corp., and the Standard Chartered Bank (Hong Kong) Ltd. Each of the investors will provide the electric vehicle maker with $200 million.
The investment comes as Polestar builds on the success of its refocus on European markets which began last summer. The EV maker achieved record retail sales of 60,119 cars in 2025, a 34% increase compared to 2024.
Each bank has entered into a put option arrangement with Polestar parent company Geely Sweden Holdings AB, which provides an exit path, if needed, in three years with certain returns as part of the equity financing arrangement.
Neither Sumitomo Mitsui Banking Corp. nor Standard Chartered Bank (Hong Kong) Ltd. will own more than 10% of Polestar’s outstanding equity.
The funding follows on from a $300 million equity investment announced Dec. 19 by Spain’s Banco Bilbao Vizcaya Argentaria, S.A. and French investment bank Natixis, with $150 million each under a similar exit arrangement with Geely’s Swedish holding company.
“With a record year of retail sales behind us, we are fully focused on creating a stronger Polestar,” Polestar CEO Michael Lohscheller said in a company statement.
