Polestar expects shareholders in a special-purpose acquisition company to approve a merger on Wednesday with the Swedish electric-vehicle maker, in a deal that the company said will raise around $850 million and help fund its future model development.
If shareholders approve the deal as expected, Polestar, owned by Chinese carmaker Zhejiang Geely Holding Group Co., will combine with Gores Guggenheim Inc. and begin trading Friday.
The deal will result in less cash for Polestar than originally planned after around a quarter of Gores Guggenheim investors requested a refund. Polestar said in May it expected to raise $995 million from the deal. Investors in a SPAC deal typically are allowed to withdraw their investments ahead of any deal. Polestar said the percentage of investors who asked for a refund was below the market average.
