Polestar announces $200M equity investment by PSD Investment

Polestar (PSNY) earlier announced a $200M equity investment by PSD Investment Limited, an existing investor, an entity that is controlled by Shufu “Eric” Li, Founder and Chairman of Geely Holding Group. Polestar Automotive Holding UK PLC has entered into a securities purchase agreement pursuant to which Polestar agreed to sell newly issued 190,476,190 Class A American Depositary Shares to PSD Investment for an aggregate price of $200M through a private investment in public equity at a price of $1.05 per Class A ADS, which represents the volume weighted average closing sale price for the previous five consecutive trading days prior to signing. Prior to closing of the PIPE, PSD Investment intends to convert 20,000,000 of its Class B ADS shares into Class A ADS shares in order to keep the overall voting power of its Polestar shareholdings below 50%. Polestar intends to use the proceeds from the equity investment for working capital requirements and general corporate purposes.