Volvo Reduces Stake in EV Maker Polestar to 18%

The strategic move aims to focus on Volvo's transition to battery technology, with Geely taking on increased responsibility.

Volvo announced it will sell 62.7% of its stake in electric vehicle maker Polestar, reducing its share to 18%, to focus on its own transition to battery technology.
The move will increase Geely's responsibility in Polestar, as Volvo plans to stop funding the EV maker.
Polestar's stock has slumped over 8% following the announcement, amid broader downturns in the EV market.
Despite the sale, Volvo and Polestar will continue their collaboration on R&D, manufacturing, and sales.
Polestar aims to rebound in 2024 with the launch of new models, including the Polestar 4 with up to 379 miles range.