Polyester and Gores Guggenheim, a special purpose organization (SPAC), hope to formalize their partnership this week, and raise about $ 850 million ($ 1.2b) for product development, R&D, and footprint growth.
The merger is expected to close this Thursday, awaiting Gorens Guggenheim stockholder approval following a meeting of SPAC stockholders.
Polyester’s common stock should start trading on Nasdaq from June 24 under the new ticker symbol ‘PSNY’. Startup EV IPOs have been cool lately, yet it’s gone all over the system.
Fund injections include public equity (PIPE) as well as fully committed private investments in cash held in trusts, Polyester says.
The increase will support the Sweden-based EV brand, founded by Volvo and Zhejiang Gili Holding Group, with its aggressive growth plan featuring a model launch each year.
It currently sells Polyester 2 sedans in the Asia Pacific region, including Europe, North America, China and Australia, where it arrived last year. It recently signed an agreement with Hertz to supply 65,000 of them for rent, increasing the scale.
Then comes the multi-tiered Polestar 3 SUV, which will share its bones with the Volvo XC90 successor and launch in October 2022.
The smaller Polyester 4 crossover is set for 2023, and the Polyester 5 will arrive in the four-door GT 2024 – the Polyester Precept concept will enliven the car.
Polyester says it wants to build a truly climate-neutral car by 2030.
Polyester cars are currently made in two facilities in China, with additional future production planned in the United States.
Polyester CEO Thomas Ingenlath called the pairing a “milestone moment for the company.”
“Our team is working hard and that work is being reflected. We are excited about the future of Polyester and will continue to build world-class electric cars, grow an enthusiastic customer community and expand to more markets around the world, ”he added.
Alec Gores, chairman of Gores Guggenheim, said: “It is an incredible achievement to have limited deliverance in this challenging macro environment and it speaks volumes about the strength of the polyester brand – as well as the high confidence of our investors in the potential of polyester.”
“We are proud of the momentum that Polyester has built up over the last few months and we look forward to the expected completion of our business coordination this week.”
Polyester is expected to increase sales to 290,000 by 2025, up from 29,000 last year, and is expected to break even in 2023.
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