Written by Cláudio Afonso | [email protected] | LinkedIn | X
Earlier this year, Volvo Cars announced the plan to discontinue funding its Polestar electric sports car brand. This Friday, the automaker shared that its has decided on the final terms and timetable for the distribution of its stake in Polestar to Volvo Cars’ shareholders.
Volvo announced today its shareholders agreed to distribute “a portion” of Volvo Cars’ stake in Polestar to Volvo Cars’ shareholders.
Volvo’s Board of Directors has decided to distribute 62.7 percent of Volvo Cars’ stake in Polestar, and, based on Polestar’s closing price on Thursday of $1.53 per share, value transfer to Volvo Cars’ shareholders amounts to approximately SEK 10.4 billion, 976,470,976 usd.
“The record date for the share split is April 12, 2024, and the redemption shares will be traded from April 15 to April 30, 2024. Shareholders will get the redemption consideration, SDRs representing Polestar Class A ADSs, around May 13, 2024. They can convert SDRs into Polestar Class A ADSs from May 13 to August 13, 2024,” Volvo stated.
Polestar has been facing several challenges including delays in key model releases (Polestar 3 and 4) and a decline in its stock value by 60% when compared to April 2023.
On Thursday, the automaker Volvo, announced a 25 per cent year-over-year rise in March sales, reaching a new record of 78,970 cars sold. Total global sales for the first quarter of 2024 reached 182,687 cars, marking a 12 per cent increase compared to the same period last year.
Written by Cláudio Afonso | [email protected] | LinkedIn | X
