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Polestar Secures $400 Million From SMBC and Standard Chartered Through SPV

The financing strengthens liquidity during a cash crunch with ongoing covenant pressures.

Overview

  • Feathertop Funding Limited will provide $400 million in equity, with $200 million each from Sumitomo Mitsui Banking Corporation and Standard Chartered, priced at $19.34 per Class A ADS.
  • Put-option agreements with a Geely Sweden Holdings subsidiary offer the investors a defined exit after three years.
  • Each bank will hold less than 10% of Polestar’s outstanding equity once the transaction closes.
  • Polestar expects the deal to close by February 5, 2026, following similar terms used in the December financing.
  • The new capital follows December support that included $300 million from BBVA and Natixis and a loan facility of up to $600 million from Geely Holding, as the company works through liquidity and covenant challenges.