Polestar has obtained $1.6 billion in financing support from its two major shareholders to ensure the company's growth plans in a time of volatile markets, the Swedish brand said in a statement.
Volvo Car, which co-founded the brand with China's Geely, said it would provide an $800 million loan to the brand. Its other major shareholder, PSD Investment, will provide the same amount through "direct and indirect financial and liquidity support."
"We welcome the continued support from our major shareholders at a time when the capital markets are volatile and unpredictable," Polestar CEO, Thomas Ingenlath, said in the statement.
Polestar said the funding, alongside other planned financing activities, would provide the company with sufficient funds through 2023 and that it was making progress on its goal to launch three more cars by 2026.
In June, Polestar was listed on the Nasdaq through a merger with a special-purpose acquisition company (SPAC). Since then its share prices has fallen from a high of $13 to a low of $4.